Insurance

hdhougen

I got a quote today for general liability insurance. They told me it was going to be over 12,000 a year, I didn't get the details of the policy because I thought that was really high compared to what I have seen on here.

My question is can anyone point me in the direction of their insurance provider, unless this is the normal GL rate in Texas. I appreciate any help!

We Fix Houses

How about a brief description of what type of work you will be doing, annual sales $$, % using subcontractors, do you have employees ?

What are you doing now and what are you getting into ?

Do you have bad marks on your credit report, current or past civil judgments or bankruptcy in the last 10 yrs ? These can put the cost through the roof.....and most of the time self - employment would not be in the cards for you.

hdhougen

we are a start up company that will focus on bathrooms only, I plan on subing out 30-40% of the work and I have 1 employee. Our gross sales are predicted at 300,000 in the first year.

I have been remodeling for 4 years now, and have great credit.

We Fix Houses

I'm on my second turn in this business. Then and now my GL runs about 3% of gross annual sales. I'm in good shape too. Significant % of subs will increase that a bit. 4% would be 12k ......?

Others here I'm sure will pitch in too.

hdhougen

We fix houses thanks for the help so far. I have a few more questions. I know basically nothing about insurance, what is included in your GL policy? What does it cover? And about how much coverage does 3% usually cover 550K 1m 2m?

Chris G

That seams like a lot to me. but I'm in Canada.

Your subs should have their own insurance, no?

__________________
"Neek...Neek...yoo-a-moronna Neek. Getta-da-fookin-a-jacka-ham!"

http://www.vicporch.ca
Deck Fence Porch Builder Toronto

hdhougen

I require all of my subs to provide a copy of their insurance. The broker I talked to said if I didn't require them to have insurance and I was audited through the insurance company, my rate would be jacked up even more.

wellbuilthome

I work in NY and pay around 8000 a year on $500,000 we build additions. + trucks ,trailers W C ect . I think its crazy 12000 dollers for bathroom work when your subs have there own comp.

Aggie67

Don't forget your rates will be high for the first few years of being in business. We're in our 5th year, and this year rates went down $35,000 total across all the different policies (auto, GL, inland marine, etc).

BirmanBuilders

Shop around. These guys can move a lot on pricing policies. They will claim that its standard for the state which is BSand tell you a load of other crap, at the end of the day these guys are hurting and will move on their price if they want to write the policy. Recently saved thousands after my wife started working in insurance and got me a way better deal than i had before, which was supposedly a good deal.

__________________
If at first you don't succeed hit it harder!