We hope your commercial snow removal business successfully made it through early February’s winter storm and that you managed to stay warm and dry. If you operate out of Southeast Michigan and saw upwards of 11 inches of snow, we already know you had your work cut out for you.
Have you ever stopped to consider the many aspects of your commercial snowplow insurance? We have you covered—so you can focus on uncovering the parking lots and neighborhoods that count on you!
First, The Basics
Commercial Snow Removal insurance is essential because it can protect both your vehicle and other aspects of your business. This type of insurance usually falls under commercial auto insurance or general liability coverage.
Depending on the scale of your business, your specific insurance needs will vary.
General Liability Insurance
Snow creates a blanket that covers the environment. If your commercial snow removal business is operating in an unfamiliar area, you run the risk of unintentionally damaging a client’s property.
Despite your best efforts, you might not notice the one slippery spot on the sidewalk. Someone might fall and become injured.
General Liability insurance is meant to cover costs for property damage claims against your business, as well as medical expenses if someone is injured after slipping.
Commercial Auto Insurance
Since the snowplow is used in your business, you will need commercial auto insurance. This type of insurance is designed to cover liability and physical damage for your work vehicle and any permanently attached plow equipment.
Personal auto insurance only covers accidents that occur while you are driving your vehicle for personal use, which is why commercial auto insurance is crucial.
As a business, you will likely have many people driving your vehicles. A commercial auto insurance policy can cover multiple drivers when they are operating your company snowplows. Personal auto insurance policies generally only cover one person while driving their own car.
If your snow removal vehicle is damaged in an accident, commercial auto insurance can help. Unexpected repairs can severely cut into your business.
Hired and Non-Owned Auto Insurance
Do you work with contractors who own their own vehicles? If so, then a hired and non-owned auto insurance policy (HNOA) could be the best fit for you. This type of insurance focuses on small business owners who rent or lease out vehicles or ask employees to use their personal vehicles for business purposes.
In the event of an accident while an employee is using their personal vehicle for your business, HNOA could provide liability coverage. This coverage does not cover damage to the vehicle itself.
This coverage does not cover vehicles that are owned by your business. In this instance, commercial auto insurance most likely will best meet your needs.
We hope this information positively impacts your commercial snow removal business. Are you interested in learning more about our other commercial insurance policies? Be sure to check our page here for more information.