No matter the size or scale of your HVAC business, finding the right HVAC business insurance policy is a fundamental step towards protecting yourself, your employees and equipment, as well as your customers.
HVAC technicians face the risk of injuries, equipment may be damaged on the job and legal risks are assumed by working on a customer’s system. As a business owner, it’s your responsibility to consider these and other risks that your business may face and plan accordingly.
Let’s take a look at HVAC technician insurance options, what they include and how to find the right HVAC business insurance.
Types of Insurance for HVAC Company
To determine which policies best suit your company’s needs, it’s important to understand the different types of HVAC technician insurance available.
Some of the most popular HVAC business insurance policies include:
- HVAC General Liability Insurance – HVAC general liability insurance covers accidental injuries and property damage related to your work as an HVAC technician. Many places will verify your HVAC general liability insurance coverage to obtain an HVAC contractor license, or when signing a commercial lease or customer contract.
- Workers’ Compensation Insurance – Most states require workers’ comp insurance coverage for HVAC businesses that have employees. Workers’ comp policies compensate for medical care and lost wages if an office employee or HVAC technician gets hurt on the job, and usually protects employers from lawsuits related to job-site injuries.
- Commercial Auto Insurance – Commercial auto insurance for HVAC pays for collision damage to another driver’s vehicle, property damage caused in an accident, medical bills arising from a third-party injury and theft or vandalism to company vehicles.
- Commercial Property Insurance – To protect your investment in business property, including office space, tools, equipment, and inventory stored on the company’s leased or owned property, this HVAC business insurance helps cover the value of any business equipment and buildings damaged or destroyed by a fire or similar disaster, or stolen from the property.
- Business Owner’s Policy (BOP) – A business owner’s policy, or BOP, provides small- to medium-sized companies an affordable and flexible HVAC business insurance bundle option as they grow, often tying your HVAC general liability insurance, commercial property insurance and business interruption insurance together.
Comparing the Top Insurance for HVAC Company Providers
Now that we’ve covered the basic types of HVAC technician insurance, let’s compare some of the leading HVAC insurers and the policies they provide.
The Hartford
Because of its consistently strong customer satisfaction rating, overall convenience and wide range of policies offered, The Hartford is considered one of the best overall providers for HVAC contractors. It also has the capability to cover businesses of all shapes and sizes, ranging from those just starting out to ones with payroll of $1 million or higher.
Nationwide
Many states require HVAC contractors to carry some form of a bond, ensuring the HVAC work your company performs will meet professional construction standards and follow all local or state regulations. Nationwide offers these surety bonds for contractors in all 50 states, along with a wide range of coverages including general liability, property, and workers’ comp.
CoverWallet
Depending on the size of your business and the scope of your work, your HVAC technician insurance may need a wide range of coverage. CoverWallet is an online brokerage designed as a one-stop shop that’s capable of providing quotes for every coverage you could need — professional liability, property, commercial umbrella, workers’ comp and beyond.
NEXT Insurance
For getting your HVAC technician insurance within minutes, consider NEXT Insurance. The company emphasizes the digital experience and can provide a quote for HVAC business insurance quickly and efficiently across three pricing tiers with varying levels of coverage for HVAC contractors.
Average HVAC Business Insurance Costs
HVAC technician insurance costs are a combination of your insurance premium, deductible and any bonds you may need. Across the board, here are some average costs to give a better estimate of your HVAC business insurance:
- General Liability – $9,000 to $13,000 estimated annual premium range with an average deductible of $0 to $500
- Workers’ Compensation, $8,000 to $15,000 estimated annual premium range with no deductible and a $500,000 coverage limit
- BOP – $9,000 to $9,500 estimated annual premium range and a $500 to $1,000 average deductible
- Commercial Auto – $1,500 to $4,500 estimated annual premium range, a $300,000 combined single limit and no deductible
Having the right HVAC technician insurance not only protects your business, it helps assure your customers that you’re ready to take on any job responsibly and with proper coverage. Be sure to consider the cost, limitations and dependability of your next HVAC technician insurance policy so you can make the best decision for your business and its employees.
