Under normal circumstances, a boat detailing business - just like a boat rental business, boat repair business, or auto detailing business - is very rewarding. It’s a craft, really. You don’t only clean a boat but restore the vessel to its former glory. Unfortunately, boat detailing does hold several risks, including accidents that could potentially damage the vessel and cause injury or death to your employees, customers, and other third parties.
Trouble could potentially damage your professional reputation, which is where boat cleaning insurance comes in.
Remember, it’s important to have some sort of cushion especially when your boat detailing business has just started. Having boat detailing insurance will cover the injuries sustained and the resulting financial damage. Let's talk about the nook and crannies of this insurance - the inclusions, cost, and best companies.
Your boat detailing business faces risks that must be covered by insurance. The most common and comprehensive policy available is boat detailing general liability insurance. This boat detailing business insurance covers the following:
Third-party personal injuries - An accident will happen in your boat detailing business's facility resulting in delivery men, customers, visitors, and other third parties sustaining injuries. It’s also possible for you or an employee to mishandle equipment and injure someone while working. When a third party files a personal injury claim, general liability insurance will provide the money you can use to cover medical expenses.
Third-party property damage - When your service or a business operations-related accident causes third parties to have their phones, clothing, and other personal effects damaged, general liability insurance will help you cover reimbursements up to the limits stated on its terms
Legal defense - Aggrieved third parties can take things to court to wrap up a personal injury claim or property damage claim. In this case, general liability insurance will give you money so that you can pay for attorney fees, administrative costs, settlements, and other associated expenses
General liability insurance provides additional protection for your boat detailing business:
Rented premises liability coverage - You’ll find this helpful if you’re renting a commercial space for your boat detailing business. Rented premises liability coverage will reimburse the property owner on your behalf if the commercial space you’re renting is damaged by fire
Advertising injury coverage - Advertising injury coverage covers attorney fees, compensatory payments, administrative costs, and other legal expenses when a third party sues your boat detailing business for slander, libel, copyright infringement, and other forms of advertising or reputational harm
Products and completed operations coverage - Products and completed operations coverage will help you cover medical expenses or reimbursements if a delivered boat detailing service caused property damage or personal injuries to a customer or any other third party
Your boat detailing business is not legally required to carry general liability insurance. However, operating your boat detailing business without this insurance cover can be quite risky. If your business ends up in a legal battle, you have to pay legal fees that total to hundreds of thousands of dollars using company or personal funds.
When you have a sufficient general liability policy, you should have the money to be used for all damages and protection from events that would otherwise devastate your business.
Also, general liability insurance is very helpful for your business’s image. Some clients will not work with you if no general liability coverage is in place. By having general liability insurance, clients are more likely to trust and warm up to your services.
Note that general liability insurance for boat detailing businesses doesn't cover all eventualities. You want to talk to your insurer to include several other policies. Specifically, consider having your insurer add the following to your policy.
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Your boat detailing service can inflict economic or financial loss to clients by committing errors and omissions. For example, while working, an employee might commit negligence and cause damage to a client’s boat.
Professional liability insurance provides coverage if the aggrieved customer files a claim. This will cover attorney fees, administrative costs, settlements, and other legal expenses on your behalf. Note that aside from negligence, the language of professional liability insurance also includes the following:
Violation of good faith
Violation of fair dealing
Other acts considered errors and omissions
Your boat detailing business needs a building. When there’s a building, it ultimately follows that you invest money in it. Don’t let the money you spend go down the drain when something happens to your boat detailing business’s building. Get commercial property insurance that will cover:
Building damage - When your boat detailing business’s door, roofing, flooring, and other structures become damaged due to fire, theft, vandalism, and other covered perils, commercial property insurance will provide the money you can use for repairs
Building destruction - Commercial property insurance will shoulder all or some of the reconstruction costs if your boat detailing business burns to the ground or is reduced to bits by fire or extreme weather
Understand that commercial property insurance doesn’t cover earthquakes, floods, and mudslides. To get coverage for these, you need to endorse or purchase stand-alone earthquake insurance, flood insurance, and mudslide insurance.
Commercial property insurance provides the following additional protection for your business:
Stocks and contents coverage - Stocks and contents coverage will recoup losses if items, not considered as equipment and tools, become damaged or lost within the premises of your boat detailing business as caused by fire, theft, vandalism, and other covered perils. Typical items covered are business furniture, fixtures, computers, documents, cleaning agents, etc.
Equipment breakdown coverage - This covers expenses if boat detailing equipment such as pressure washers, vacuum cleaners, steam cleaners, and others break down. Equipment breakdown coverage can provide immediate replacements if items covered are less than three years old
Boat detailing tools and equipment don't come cheap. These are classified as "marine," which indicates how expensive they could be. You want to make sure that these tools are protected from theft, mishandling, and destruction. Unfortunately, general liability doesn't cover said tools and equipment. That's where tools and equipment policy comes in. The insurance company will reimburse you for the cost of the tools and equipment, thus ensuring that you don't suffer unwarranted downtime.
Working on a boat can be dangerous. You and your workers are going to be working on wet surfaces with sharp objects and bulky equipment. The chances of an accident occurring within the said environment is relatively high. You want to get a cover for the medical costs that might arise when these accidents occur.
With workers' compensation insurance, the insurer provides you with medical treatment coverage for all accidents that occur while dispersing duties. Your employees are assured of getting disability benefits and compensation for lost wages. Coverage for lost wages comes in the form of a weekly allowance equal to two-thirds or 67% of the average weekly pay.
There might be additional benefits depending on the state where you carry out your boat detailing business such as coverage for:
Hospitalization - Workers' compensation insurance will cover hospital bills if you or an employee suffers from a work-related accident. In other words, this insurance ensures that adequate long-term medical attention is provided without you spending personal funds or business funds
Medication - Workers' compensation insurance provides the money you can use to buy medicines for yourself or an employee. This insurance will take care of costs no matter how expensive such medicines might be
Rehabilitation - Workers compensation insurance sees to it that you or an employee can fully recover from a work-related accident without spending money. This is why it also covers rehabilitation. Use this insurance to pay for therapist fees, rehabilitation equipment, and other related expenses
Death benefits - Death benefits are also covered by workers' compensation insurance. Particularly, it will shoulder funeral expenses and provide cash aid to dependents
Damage to the boat, while you work on it, can happen. There might be a scratch on the hull or, worst-case scenario, damage to an expensive piece of marine equipment belonging to the boat. For most insurers, their general liability cover doesn't extend to these damages. That's where marine operators' legal liability steps in. This coverage protects you when you have custody and control of the boat. Most providers will provide coverage options that start at as little as $10,000 and could go as high as millions.
When you get a contract working in marinas, you will be required to present your commercial auto insurance to drive your business vehicle on their grounds. Get commercial auto insurance as it provides the following protection:
Auto liability coverage - Auto liability coverage will provide protection if your boat detailing business’s commercial vehicle causes a vehicular accident. This coverage will shoulder the medical expenses of injured third parties. Reimbursements for property damage will also be covered. And if aggrieved third parties decide to sue, auto liability coverage will cover attorney fees, administrative costs, and other legal expenses on your behalf
Physical damage coverage - Physical damage coverage will cover expenses if your commercial vehicle becomes damaged. This has two forms - comprehensive and collision. Comprehensive physical damage coverage will kick in if your commercial vehicle incurred damage due to fire, theft, vandalism, and other covered perils. On the other hand, collision physical damage coverage will kick in if your commercial vehicle got damaged after colliding with another vehicle or an object
In some instances, and subject to the services required, it might be necessary to store your customer's boat on-site for several hours or even overnight. If the boat was to be vandalized or stolen while within your custody and you lack the proper insurance, you will be responsible for said damages or loss. With garage keepers' liability, you are protected from having to pay out of pocket.
Note that you should consider purchasing a business owner's policy (BOP) rather than a standalone policy. This is a comprehensive solution with multiple forms of coverage that would prevent you from business interruption.
On average, a boat detailing business in the United States will spend $450 per year for $1 million general liability coverage. This translates to $37.50 per month. Your actual rate will vary depending on a number of factors, including:
General aggregate limit
Number of employees
In addition, here's a table showing the pricing of the best boat detailing insurance companies:
|Cost per Month||Cost per Year||Best for|
|NEXT||$11||$132||Specialized "faulty work" coverage for boat detailing businesses|
|Thimble||$17||$204||Short-term boat detailing policies|
|Hiscox||$29.17||$350.04||Small to medium-sized businesses|
|CoverWallet||$61||$732||Boat detailing insurance quotes comparison online|
|State Farm||$68||$816||Generalized insurance for boat detailing business|
|Progressive||$76||$912||Boat detailing commercial auto insurance|
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If you are in the market for boat detailing insurance, here are the best boat detailing insurance companies to consider. Read the reviews below to know their pros, cons, and monthly pricing for a $1 million general liability coverage.
You can cancel your policy at any time without incurring any fines
Stable rates with no unexpected changes to premiums
You can manage your account and pay premiums online
You work with online insurance agents
It doesn't offer tailored boat detailing insurance
Not an insurance company but a broker
Founded in 2015, CoverWallet, with its headquarters in New York, is an insurance broker allowing small business owners to get quotes from several providers online. This insurance broker has a helpful platform that will ensure you get the best cover for your boat detailing business. You can choose from the ready-made insurance plans, which are offered in collaboration with other insurance partners. Your general liability insurance for the boat detailing business costs you $61, but you can also get a custom plan that best fits your business.
Best for: Boat detailing insurance quotes comparison online
Average cost: $61 per month
Our rating: 10/10
You can purchase coverage online
You can choose the zero deductible option
You can purchase coverage for hours, weeks, days, or months
They take time to process claims
Customer support is only available online
Thimble is an online insurance agency that was established in 2016. General liability insurance for boat detailing business starts at $17 per month, with the BOP costing a minimum of $42 per month. You can negotiate to include the other policies at an extra cost. You can purchase Thimble boat detailing insurance policies online, and coverage can begin on the same day. Consider paying your premiums annually, especially if you go with the monthly cover. Note that you can add additional insureds to your policy just before you complete your purchase.
Best for: Short-term boat detailing policies
Average cost: $17 per month
Our rating: 9/10
Wide selection of coverage options
Exemplary mobile app
A++ financial strength rating
Usage-based insurance discounts
Poor customer service
Unexpected raises in rates that aren't communicated to customers
Progressive is the third-largest provider of auto insurance in the country. Founded in 1937, Progressive tailors its offerings for boat detailing businesses with particular consideration for their commercial motor vehicles. Specifically, it gives up to 15% discounts on commercial auto insurance quotes. You get to file your claims online or via phone. Note, you have the option of enrolling in the Progressive Advantage Business Program. The general liability policy for your boat detailing business will cost you $76, with the commercial vehicle insurance costing on average $42 per month.
Best for: Boat detailing commercial auto insurance
Average cost: $76 per month
Our rating: 9/10
Discounts of up to 5% if you bundle two or more policies
14-day money-back refund policy
Long-standing history with almost 120 years' worth of experience in the insurance niche
Coverage is not available in Alaska
Limited online capacity; thus, not all insurance products are available for online quotes
Founded in 1901, Hiscox spearheaded selling and servicing small business insurance policies digitally. Suppose you are running a small to medium-sized boat detailing business. In that case, you could work with Hiscox entirely digitally, which is pretty convenient for you. However, if you choose to discuss your needs with a representative, Hiscox offers agents whom you can call to manage your account. In recognition of growing needs, the insurer, through the agent, will work with you to scale up your cover to meet these needs.
Best for: Small to medium-sized businesses
Average cost: $29.17 per month
Our rating: 8/10
Monthly premiums at no extra cost
Refunds are given with no cancellation fee
Premiums start as low as $11
Online quotes in less than 10 minutes
Fast and easy coverage process
The entire insurance process is digitized
No policy explicitly tailored for boat detailing business
Next was founded in 2015 with the hopes of leveraging the digital insurance landscape. The company uses artificial intelligence to underwrite and sell its policies to small business owners. Next offers a highly customizable plan for boat detailing businesses to ensure that the policy best fits your business needs. If you are shopping for quality online small business insurance for your boat detailing business, Next is the insurance company for you.
Best for: Specialized "faulty work" coverage for boat detailing businesses
Average cost: $11 per month
Our rating: 8/10
19,000 + agents throughout the United States
You can file and track your claim online
Numerous contact channels that should quickly help resolve customer issues
You can only purchase insurance through State Farm agents
Higher rates than competitors
Founded in 1922, State Farm now offers over 83 million policies and is available in 48 states. The insurer with A++ provides, among others, boat detailing coverage. Note that while State Farm doesn't offer an insurance product specially underwritten for your boat detailing business, you get coverage via the company's insurance for auto service businesses.
State Farm's insurance policy provides equipment breakdown coverage, garage keepers insurance, business interruption insurance, and commercial umbrella liability insurance. You will pay $68 per month for the boat detailing business and $33 per month for the umbrella liability insurance.
Best for: Generalized insurance for boat detailing business
Average cost: $68 per month
Our rating: 7/10
Lonnie Bell Insuranker
Policy Type: Business Insurance
Company name: Employers Insurance
Use anyone except Employers. Period. They are non-transparent and shameful. After I complained long enough to warrant a call from a supervisor, the supervisor called back from a PRIVATE NUMBER (no caller ID), left a message that they are not reversing their decision (without any communication with me), and failed to leave a phone number for me to call back. She was hiding! They also fact find via email and phone calls, which is terrific for speed and communication. However, after setting a precedence of email or phone calls, they send time sensitive information via email, without any heads up... they are hoping you miss it and forfeit via expiration. Evil policies. Go elsewhere.
This place is an absolute joke of a company and should be ashamed of the way they conduct business. I was hurt on the job at the end of July and it took them just shy of 7 weeks to issue out a paycheck to me. Yes the amount was back dated but still. Not many have the luxury of not receiving a paycheck for almost 2 months. To top it all off, the original adjuster marked me down for the wrong state which caused a problem from the get go, I've had 3 different adjusters now since each one can't seem to figure out the simplicity of my claim. All my paperwork which includes, my job, house, and drs visits all are from the same state and city but yet some how I have been filed under a completely different state 1500 miles away. They do not answer your phone calls or emails no matter how many you leave. I've had to escalate my frustrations to the supervisors of each of these individuals in order to even get some kind of response. I've had more communication and information given to me about my claim from the customer service representatives then the actual adjusters.......... please tell me how that works?! A serious overhaul needs to happen here in order to serve your clients the way they deserve to be taken care of. 10/10 do not recommend this company to a single soul on earth
I have never had the displeasure of working with a more incompetent and disrespectful person in my life. I’m an injured worker and the adjuster that was assigned to my case was named Carrie Furgeson. In the past 6 weeks that I’ve been injured and out of work I have only been able to get ahold of her twice, not for lack of trying. I have left countless voicemails, countless emails, and she ignores them all. When I am finally able to get ahold of her I’m greeted with terrible customer service. She is rude, she talks over me and I’m hardly able to get a word in edgewise. She spelled my name wrong on my documents even after I spelled it for her properly countless times, this caused a whole new issue with my bank. I have bill collectors from the hospital calling me demanding payment and Carrie Furgeson won’t do a single thing to help, or to get them paid. All of my documentation is in Colorado, my job is in Colorado, my address is in Colorado, all my Dr offices and appointments have been in Colorado and Carrie still managed to hold my claim because she wasn’t sure what state she needed to file it under. It’s been 6 weeks since my Injury and my company still hasn’t received the wage paperwork to fill out so they can get me my correct wages. When she’s not ignoring me she’s answering my questions with “I don’t know” well I don’t know how she got this job, because apparently she doesn’t know anything about it. She is a disgusting morose individual inside and out and I genuinely wish her the worst in all of her future endeavors. I highly recommend you don’t use this company. Please if you are a business owner and your looking into this company please don’t use them. I’m sure they have the cheapest payment and that’s why companies use them in the first place, but you will be doing your employees a grave disservice by forcing them to venture into this absolute dumpster fire of a company. I would rate 0/5 if possible but 1 was the lowest I was allowed.
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
As long as they cover your line of business, you're literally covered! best rates, best coverage, best online experience, best professionals, can't be happier that I chose them!