Key Takeaways:If you have the carpentry, plumbing, electrical, and general maintenance skills and like being your own boss, being a handyman (or woman) sounds like a great job! You get to set your own schedule, choose your projects, and experience the independence of being a business owner.But it’s more than that, it’s a business—and with any business, there are risks and responsibilities.Since working as a handyman means being an independent contractor, there are financial considerations needed to protect yourself.Although you hope to never have problems or issues come up, sometimes things happen that could bring costly lawsuits, financial losses, and reputational damage.That’s where Handyman Insurance comes in—it protects you from the unpredictability of the handyman profession, including being injured on the job, accidentally damaging someone else’s property, and so much more.The Nuts and Bolts of Handyman InsuranceWhen you ask yourself, “Why do I need Handyman Insurance?”, it’s to protect you on many levels so that you are prepared should something bad happen.

Luckily, recognize this profession and its potential problems and have developed cafeteria-style policy options that allow each person to customize their coverage in the most beneficial way.Let’s take a look at the six main types of insurance coverage that you will want bundled into your Handyman Insurance policy:General Liability Insurance – Handyman Liability Insurance covers third-party claims when there has been bodily injury or property damage caused (or presumed to be caused) by a handyman’s work.It also covers potential libel, slander, and legal and settlement costs.This type of insurance is often required by most states to obtain a license, and most clients will want to see proof of coverage.As an example of why general liability insurance is needed—if a customer accidentally trips over equipment or tools left by the handyman, this insurance will cover the medical bills and any legal costs.Errors & Omissions (E&O) Insurance – E&O insurance is designed to protect the handyman with coverage, so if they received claims about negligence, damages, breach of contract, poor workmanship or shoddy materials, they would be protected.

This includes legal defense costs and judgements.Commercial Property Insurance – Whether rented, leased, or owned, it’s important to have commercial property coverage for any business-owned property, tools, and equipment.This is important coverage in case your property is impacted by unforeseen events, like theft, fire, or loss.The Handyman Insurance cost is well worth the peace of mind when it comes to your ‘tools of the trade.’Workers’ Compensation Insurance – Getting work comp insurance for you and any subcontractors or employees you may hire provides medical coverage for work-related injuries.

Mandatory in most states, work comp coverage provides medical care, rehabilitation, and lost wages for those injured on the job.Commercial Auto Insurance – If you use your truck or van for business purposes, you will need commercial auto insurance to provide protection from accidents, injuries, and theft or vandalism.Surety Bonds – Bonds are a great want to build trust and credibility with customers and are usually required on large projects.A surety bond guarantees you, as the handyman, will fulfill their contractual obligations and provides your client with financial consideration if you fail to complete a project.So, What Types of Issues are Covered by Handyman Insurance?Think of Handyman Insurance as a great, big safety net protecting you and your personal assets in case of a catastrophe or unexpected situation while working.Here are some of the things that can happen while you are working for a client:It is always important to only accept jobs within your skill set and only what you are comfortable performing with the resources you have available.

While accidents happen, don’t invite trouble by overextending yourself or your crew.With Commercial Property Insurance, you are protected from theft, either on the job or while tools are being stored and will be able to quickly replace your tools and equipment.Requirements for Handymen and Handyman InsuranceWith an inherent risk of injury and/or property damage, people skilled in maintenance, construction, and general handyman activities need good insurance to protect themselves and their loved ones.Here are some of the other business insurance handyman needs and requirements impacting tradespeople when it comes to being an independent businessperson.Be sure you understand the difference between employees and independent contractors.The that cover how you define a worker’s hours, workload, and how the work is to be accomplished, etc., and these definitions can be used against you if there is a claim made for an injury that you didn’t cover through insurance.Finding a Good Insurance AgentWhen it comes to managing , it’s important to establish a relationship with a good insurance agent that’s knowledgeable about the requirements and options for independent contractors and handymen and women.

You want someone who will take the time to explain the different types of coverage available and the benefits of each.Using a marketplace leader, like , you can find the best price quotes and agents to choose from—then work with your selected agent to help you obtain the best tailored coverage that fits your unique circumstances.Each insurance company has different premium structures that influence your costs and take into consideration things like scope of work and number of employees.It’s also a good idea to employ regular policy reviews as your company grows, since changing circumstances will lead to necessary adjustments in coverage and premium costs.A Couple of Quick FAQsWhat does Handyman Insurance cost?While Handyman Insurance costs will vary by the types of coverage you want, the deductibles you choose, your location, coverage limits, claims history, and size of your business, the general policy can range on average from $400 to $1,500 or more per year.What happens if I choose to not carry Handyman Insurance coverage?This will leave you extremely vulnerable and could be personally devastating if your business has a problem.It will leave you personally responsible for possible damages, medical expenses, legal fees, and more.Do I need Insurance if I am a part-time handyman?Yes—full-time, part-time, any time—if you are working as a handyman, it’s important to carry insurance that will protect you in case of problems.What if I have coverage, but don’t have a way to prove it?You should be able to contact your insurance agent or company and request a Certification of Insurance, or COI, which demonstrates that you have a policy in force.

Many clients will require you to show or post your COI throughout your project so that information is available if needed.Is Handyman Insurance required by law?It depends on your state and local jurisdictions.Most post their requirements online to make it easy for everyone to see their obligations.Some Final ThoughtsEnsuring comprehensive handyman insurance is the best way to protect your business as an independent contractor.It allows you to safeguard your business, your property and equipment, and your reputation as your business grows.Once you find a that will provide you with information and guidance, you can proactively protect your business and enjoy peace of mind.

Remember to review your policy annually to ensure that you are adequately covered and are receiving the absolute best price for your policy.Contact to learn more about business insurance and find help in locating an insurance agent that can exceed your expectations.