As a locksmith,you are the go-to professional when homeowners and business owners mistakenly lock their keys in their properties. Locksmith services don’t go as always planned, and instead of your client breathing a sigh of relief, they might shift the blame for their mistakes to you.Â
Consider purchasing tailored locksmith insurance coverage when managing or starting a car locksmith or home locksmith business. This policy protects your business from financial losses resulting from lawsuits that clients file against your company due to damaged property and bodily injuries.Â
Locksmith Liability Insurance
Businesses are exposed to many risks. Locksmith liability insurance is a critical business insurance policy, regardless of industry. This business insurance policy protects your locksmith service business from third-party risks, such as a client tripping over your toolbox and dislocating their wrist.Â
 Most insurance carriers offer general liability coverage to protect locksmiths from the following risks:
- Third-party bodily injury – Should you unintentionally injure your client or another person, they might hold you responsible for their injury and medical bills
- Third-party property damage – As a locksmith, you work on clients’ premises. If you damage the lock or the door hinges from the frequent tweaking of the mechanism, they could demand that you pay for the repair or replacement costs
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You can add optional policies so that general liability insurance provides more comprehensive protection. These optional policies are:
- Advertising injury coverage
- Rented premises liability coverage
- Products and completed operations coverage
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The locksmith service you completed might have caused personal injuries or property damage. Products and completed operations coverage takes care of this eventuality. In a nutshell, you can use this insurance to pay for defense costs and settlements if ever a past client sues for personal injuries and property damage.Â
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Locksmith Public Liability Insurance vs Locksmith General Liability InsuranceÂ
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General liability insurance and professional liability insurance don’t differ a lot in terms of what’s covered. Both will take care of personal injury claims and property damage claims against your business. Â
But the difference lies in comprehensiveness. Of the two, general liability is the more comprehensive; public liability, the least comprehensive. Remember that general liability insurance can be added with optional policies for added protection. This is a feature that public liability insurance doesn’t have.
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Besides general liability coverage, the following are other insurance policies that locksmiths should have.
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Commercial Property Insurance
Keeping track of your business’s tangible assets is essential – your business building, equipment and tools, computer systems, and other valuables. And so, aside from liability policies, you should also invest in commercial property insurance.Â
 If fire or extreme weather destroys your business’s commercial space, commercial property insurance covers reconstruction expenses. Commercial property insurance doesn’t only take care of your locksmith business’s building.Â
Workers’ Compensation Insurance
Most states require locksmith businesses with employees to have workers’ compensation insurance. If a member of your team gets injured while on the job, workers’ compensation insurance covers their emergency treatment, hospitalization, and rehabilitation. Â
Furthermore, if the injury incapacitates them from returning to work right away, the insurance provides employee benefits to cover lost income.Â
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 Contractor’s Equipment and Tools Insurance
Equipment and tools coverage covers your locksmith equipment that incurred damage on-site or off-site.Â
The coverage pays for the replacement and repairs of your work tools if they get damaged or stolen. It also offers reimbursement for rental equipment as you await the settlement of your insurance claim.Â
Locksmith Insurance Cost
Locksmith insurance coverage costs vary from business to business. But expect to pay $63 per month or $756 per year for professional indemnity insurance. Your premium depends on the provider you choose, as well as other variables that include:
- Business location
- Crew size
- Your chosen coverage limit and deductible
- Business assets and equipmentÂ
- Types of insurance policies you purchase
- Business income
- Term duration
Best Locksmith Insurance CompaniesÂ
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CoverWalletÂ
 CoverWallet locksmith insurance coverage comes in four types – general liability only, general liability and commercial property insurance, business owner’s policy with workers compensation insurance, and a custom plan.
Use CoverWallet’s online quotes comparison platform to look at the offers of other companies that cover locksmiths. you can pay premiums, manage policies, and get a certificate of insurance online.Â
Average cost: $60.87 per month
Our rating: 10/10
Pros
- Cancel a policy anytime
- A partner of reputable insurance companies
- Get general liability insurance having products and completed operations coverage
- Decide yourself what insurance to get through a custom plan
Cons
- Not an insurance company but an insurance broker
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Thimble
Thimble is an online insurance broker founded in 2015 and headquartered in New York.Â
Thimble provides a wide range of locksmith insurance coverage policies, including general liability, commercial property insurance, E&O, BOP, workers’ compensation, and inland marine insurance.
Average cost: $64.12 per month
Our rating: 8/10Â
Pros
- Free and fast online insurance quotes
- Provides hourly, daily, or monthly coverage
- Free insurance certificates
Cons
- Clients can only get file a claim and contact customer support online
USAA Lock Smith Insurance
For those working in the military and their families, USAA offers them reasonable insurance cost. However, USAA does not advertise or promote locksmith insurance coverage as a part of their offerings as well.
Pros
- USAA members do enjoy some competitive rates.
- The customer care is superb.
- There are fewer complaints registered.
Cons
- The membership enrollment is rigid.
- There are fewer options available when compared to other market competitors.
Rating; 7/10
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Progressive Locksmith Insurance
Though Progressive is popular in writing commercial insurance that can cover locksmith services, they do not offer locksmith insurance as such.
ProsÂ
- There are specific lines of insurance that come at a discounted rate.
- There are various types of discounts available.
- A M Best has rated them as A+ for their financial strength.
Cons:
- Customer service is mediocre and can use some work.
- There are few renters and homeowners insurance options to choose from.
Rating; 8/10
Allstate Locksmith Insurance
Allstate provides a wide range of insurance services but does not seem to specialize in a locksmith insurance. However, a locksmith company can always buy one of the available Commercial insurance options.
Pros:
- Home insurance costs are cheaper than the average cost of the country.
- Great savings for those who have multiple policies through one insurer.
- Few complaints with insurers in regard to home insurance.
Cons:
- Full coverage for car insurance is rather costly.
- The average customer ratings with regards to satisfaction are a bit lower than expected.
Rating: 3.9 out of 5
Geico Locksmith Insurance
Geico is more known for providing personal auto insurance although there are some commercial options as well. However, particular locksmith insurance products seem not to be presented much.
Pros:
- Reasonably priced premiums for teenage drivers.
- Various options for discounts.
- A++ rating in financial strength by AM Best.
Cons:
- Additional coverages are limited in what can be chosen.
- Customer service rating is lower than the average and closer to poor than good.
Rating: 3.7 out of 5.
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