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liability

Discussion in 'Business Fundamentals' started by anthony1993, Dec 19, 2010.

  1. anthony1993

    anthony1993 Junior Member
    from NJ
    Messages: 3

    This is my second year snowblowing residential properties. My business is cash only and i do not carry insurance. Would you recommend buying insurance, having the owner sign a disclaimer, or not having any protection at all?
    Thanks.
     
  2. RepoMan207

    RepoMan207 PlowSite Fanatic
    from Maine
    Messages: 5,035

    You need a commercial policy on your truck and a Liability Insurance for slip and falls. Sure, you can gamble.....if you like Russian rulette.
     
  3. AG09

    AG09 Senior Member
    Messages: 159

    Do you claim your cash income on your taxes and do you charge tax on your services?
     
  4. RepoMan207

    RepoMan207 PlowSite Fanatic
    from Maine
    Messages: 5,035

    I claim taxes on mine as I'm self employed year round, and I make over the reported limit. You can simply do a DBA if you really wanted to,

    These are two totally different topics. You don't have to have a bussiness to be insured. But, you DO have to be insured. You can potentially loose EVERYTHING if your not. Say you hit Joe Smoe one day with your plow on....your insurance company will not cover you or the other parties claims. They don't have to. In fact, I would be very surprised if you didn't receive a cancellation notice a few days after the incident.
     
  5. anthony1993

    anthony1993 Junior Member
    from NJ
    Messages: 3

    We are doing residential properties. No plows are involved, just snowblowers.
     
  6. clark lawn

    clark lawn PlowSite.com Addict
    from NE ohio
    Messages: 1,233

    what happens if you throw a piece of ice out the chute it hits a car window and that car crashes into another one, you got the money to cover that? what it someonein one of the cars got killed?
     
  7. RepoMan207

    RepoMan207 PlowSite Fanatic
    from Maine
    Messages: 5,035

    then you need liability insurance......."we"??
     
  8. AG09

    AG09 Senior Member
    Messages: 159

    Clark is absolutely right. You never know what could happen and its always better to be safe than sorry. Last thing you want is to be sued or held personally liable for something you caused. Not to mention if you do not carry any insurance and something happens they can come after you personally for your assets and you can lose everything
     
  9. LB1234

    LB1234 Member
    Messages: 91

    My vote is for you to not have any insurance at all



















    I mean come on.......where you seriously leaving that as an option?????????????
     
  10. paponte

    paponte Senior Member
    Messages: 717

    I'll second vote no insurance. Then you can be cheaper than all the insured guys and get more accounts that way. After you conquer snow removal you should get into lawn maintenance and masonry too. If you just do all cash, you'll never have to pay insurance, licensing fees, workers' comp, or file taxes. Then you can do stuff for cheaper than all the licensed guys too. It's a win win for your company.
     
  11. thelettuceman

    thelettuceman PlowSite.com Addict
    Messages: 1,216

    Post # 10 ..... LMAO!!!!!!!!!!!!!!
     
  12. Ferrisdiesel

    Ferrisdiesel Member
    Messages: 32

    Im picking up on your sarcasm!!! lol:D
     
  13. LB1234

    LB1234 Member
    Messages: 91


    good cause we're layin it on pretty thick!
     
  14. MGV

    MGV Junior Member
    Messages: 14

    I guess thats why I find it hard to compete, $5000 a year for 3 trucks and liability ins. But I don't know how someone can do snow plowing, snow blowing or what ever with no ins.
     
  15. paponte

    paponte Senior Member
    Messages: 717

    Wait till you grow a little more, Then that $5k goes to $10k, then $15k, then over $20k. Then you get to deal with people "wow, your awfully expensive". Lady pay my insurance every month, and make my payroll every week. :salute:
     
  16. LB1234

    LB1234 Member
    Messages: 91


    Where do I sign for that deal???? I pay 2k more than that just for my GL insurance...and then about 2000 or so for commercial auto (1 truck!).
     
  17. RepoMan207

    RepoMan207 PlowSite Fanatic
    from Maine
    Messages: 5,035

    You guys must crash alot, or have too many claims. I pay $1086 per year on the truck and another $1042 for GL.
     
  18. AG09

    AG09 Senior Member
    Messages: 159

    Look into Farm Family call Ray Johnson @ 609-584-0100. GL is around 1000 for 2m and comm auto is like 1500 for 1 mil full coverage.
     
  19. MGV

    MGV Junior Member
    Messages: 14

    I have that thru Farm Family
     
  20. paponte

    paponte Senior Member
    Messages: 717

    I am with Farm family also, like I said wait till you grow a little. Insurance is typically based off payroll and gross sales. Throw some trucks in the picture, equipment, employees, shop, etc.. I Guarantee your rates will be phenomenal.