Boat Detailing Insurance: Cost & Quotes from $11

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.

Boat Detailing Liability Insurance  

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. 

Boat Detailing Professional Liability Insurance

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:

• Misrepresentation

• Violation of good faith

• Violation of fair dealing

• Missed deadlines

• Other acts considered errors and omissions 

Commercial Property Insurance for Boat Detailing Business 

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 

Tools and Equipment Insurance for Boat Detailing Business

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. 

Boat Detailing Workers Compensation Insurance 

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 

Marine Operators' Legal Liability for Boat Detailing 

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. 

Commercial Auto Insurance for Boat Detailing 

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 

Garage Keepers Liability 

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.

Boat Detailing Insurance Cost 

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:

• Location 

• Deductibles

• Per-occurrence limit

• General aggregate limit 

• Number of employees 

In addition, here's a table showing the pricing of the best boat detailing insurance companies: