Insurance - Business owners what do you pay for insurance per year?

mrj7500

mrj7500

New member
Joined
Jan 7, 2010
Messages
25
Reaction score
0
Insurance - Business owners what do you pay for insurance per year?


Thinking of starting a detail business, so I called my insurance agent to get a quote.

$1400 a year to cover cars up to 30K in value, if I would get a more expensive car I could increase coverage for one day at a time.

This would be a home based business (to start), so this is just coverage for customer's vehicles. Is this a good rate?
 
Re: Business owners what do you pay for insurance per year?

mrj7500 said:
Thinking of starting a detail business, so I called my insurance agent to get a quote.

$1400 a year to cover cars up to 30K in value, if I would get a more expensive car I could increase coverage for one day at a time.

This would be a home based business (to start), so this is just coverage for customer's vehicles. Is this a good rate?
Click to expand...


That's expensive. That amount of money should cover a car that worth over a $100k, which is the kind of car you should desire to be detailing. Keep looking around and you should find a better rate.

Derrick
 
Re: Business owners what do you pay for insurance per year?

Derrick said:
That's expensive. That amount of money should cover a car that worth over a $100k, which is the kind of car you should desire to be detailing. Keep looking around and you should find a better rate.

Derrick
Click to expand...

Agreed. For coverage on a $30K car you shouldn't be paying anywhere near that for basic liability. What exact type of coverage are you having quoted?
 
Re: Business owners what do you pay for insurance per year?

I have a $1,000,000 umbrella policy that covers both the customers car and boat. Also any damage that happens as a result of an incident. (Up to $1,000,000 of course)

Rate- $350 every 3 months, $1400 a year. I have no idea who you are going through but that is out of the roof! Or maybe i got a smoking deal. I dont know
 
Re: Business owners what do you pay for insurance per year?

I carry a "garage-keeper's" policy with $600,000 aggregate liability and $300,000 per incident. $80,000 limit per car. The policy costs about $1,200 per year and the limits can be increased at any time and then decreased again if I need them
to be.
 
Re: Business owners what do you pay for insurance per year?

if you don't mind me asking I'm currently looking for insurance, where did all you get yours from?
Thanks,
Alex
 
Re: Business owners what do you pay for insurance per year?

I got a quote for about $1,430 from my insurance company for a similar policy as the OP, so I'm shopping around. What is worse, is I have tried getting ahold of other companies and no one is even calling me back! What customer service... Jeez.
 
Re: Business owners what do you pay for insurance per year?

coldfirejt said:
I carry a "garage-keeper's" policy with $600,000 aggregate liability and $300,000 per incident. $80,000 limit per car. The policy costs about $1,200 per year and the limits can be increased at any time and then decreased again if I need them
to be.
Click to expand...

Could you please tell us what company your using. :hotrod2:
Thanks
John
 
Re: Business owners what do you pay for insurance per year?

John K said:
I got a quote for about $1,430 from my insurance company for a similar policy as the OP, so I'm shopping around. What is worse, is I have tried getting ahold of other companies and no one is even calling me back! What customer service... Jeez.
Click to expand...

I sell business insurance and no one is calling you back because the premium is so small. We get paid based off of premium so a $1,000 policy makes us only about $50 which bascially makes the agency lose money based on time, etc. Thats why no one is calling you back.
 
Re: Business owners what do you pay for insurance per year?

mtmebnj said:
I sell business insurance and no one is calling you back because the premium is so small. We get paid based off of premium so a $1,000 policy makes us only about $50 which bascially makes the agency lose money based on time, etc. Thats why no one is calling you back.
Click to expand...

WOW!! I'm glad all agents don't think like that. Although it seems like a lot of agent do. I found an agent that I called Thursday morning and had my policy that evening for under $800. And that is for a $1,000,000/$2,000,000 policy.:buffing:
 
Re: Business owners what do you pay for insurance per year?

mtmebnj said:
I sell business insurance and no one is calling you back because the premium is so small. We get paid based off of premium so a $1,000 policy makes us only about $50 which bascially makes the agency lose money based on time, etc. Thats why no one is calling you back.
Click to expand...

I see. Thanks for letting me know. I'm calling a "smaller" insurance company instead of the big names. Maybe they can help me out!

Does anyone here use more of a local insurance company, and does it have any particular advantages/disadvantages I need to be aware of.

This is the big hurdle that holds me back from advertising. I do NOT want to advertise unless I'm insured.
 
Re: Business owners what do you pay for insurance per year?

John,

That's what we did. The big name companys are the ones that weren't calling back.
 
Re: Business owners what do you pay for insurance per year?

I am completely mobile (I do not drive the customers vehicle) and the cheapest I could find was $1600 a year for $1mil/$90K. So, I am self insured. I have been in business for 3 years, so IF I have a claim tomorrow and it costs $3K to fix, I am still $1800 ahead.

The $3K is a guesstimate if I burn through the paint on a fender....
 
Re: Business owners what do you pay for insurance per year?

I actually have a gentleman who's looking into business insurance for me as we speak. I'm licensed, but business insurance was the last thing I needed to be truly legitimate. Now I'm getting home/auto/business all in one, I hope. I'll let you all know how much I'm going to be paying for it. lol.
 
Re: Business owners what do you pay for insurance per year?

Well guys I think I'm going to go with who I currently hold my insurance with (USAA). It seems that no one around Louisville will even talk with me unless I have my cars with them or my house. I was even told it would be a "bad business decision" to insure me on the general liability policy only.

The policy USAA wants to give me is a Gen Liability + Garagekeepers. It may be a little pricey ($1.3k / year), but hopefully after some decent revenue and history I could get this rate lowered perhaps.

I'm open to all opinions on this move....
 
Re: Business owners what do you pay for insurance per year?

you live in louisville? me too :)
 
Re: Business owners what do you pay for insurance per year?

Yes sir! :props:

I am actually in south Louisville by Bullitt Co. Insurance companies around here just don't want to either:

A.) Quote me
B.) Call me back
C.) Both A and B lol
 
Re: Business owners what do you pay for insurance per year?

Check out RLI. I got similar coverage to the best on here for a fraction of the cost. Not sure if education and location factor in though, but worth looking into these guys. PM if you want a direct contact number.
 
Re: Business owners what do you pay for insurance per year?

John K said:
Well guys I think I'm going to go with who I currently hold my insurance with (USAA). It seems that no one around Louisville will even talk with me unless I have my cars with them or my house. I was even told it would be a "bad business decision" to insure me on the general liability policy only.

The policy USAA wants to give me is a Gen Liability + Garagekeepers. It may be a little pricey ($1.3k / year), but hopefully after some decent revenue and history I could get this rate lowered perhaps.

I'm open to all opinions on this move....
Click to expand...


$1,300 is not a lot of money at all, insurance carriers all have a min premium. Payroll or gross sales will be used when your audited at the end of the year. The more payroll or sales the more you will pay. Garage keepers covers clients autos in your care & custody should something happen. You crash their car, it cathes on fire, etc. Think how much body shops pay pper year or your local quick lube. Its the cost of doing business. I insure body shops which cost $40k plus for the year w/works comp.

In NJ 1 car costs more to insure, heck even a hoi policy.

On that $1,300 policy the agent probably made under $200. If the agent is not the owner figure he got 30 to 40% of that. So the agent made 60 - $80 bucks and i BET you killed them with questions and spent some time. So places maybe thats a lot of money but in NJ I would hav lost money. SEND THAT AGENT WHO HELPED YOU SOME MORE BUSINESS! Send him a contractor or med size business referal. And if he is close by your shop go there with business cards and ask for some work! Network, network, network CHECK out LeTip.com if they are near you. It's a networking group! Or call and ask me 732-770-7000 Mike I am a member of my local networking group and I get business from it.

LeTip of Princeton - Business Networking That Puts Dollars In Your Pockets - 7am Tuesday Morning - Princeton, NJ or .com i forget

Good luck with your business & have some fun!
 
Re: Business owners what do you pay for insurance per year?

I've done it! After some talking with my insurance agent. i was able to get the same coverage for about $1,040/year. So I am able to get covered if a customer drops a car off at my house, if I drive their car, OR I go to their place.

I am very happy right now, as I can finally focus on growing my business. Thanks again for everyone's help! My business (part time for now) officially starts TOMORROW!! :) :)

John
 
You must log in or register to reply here.
Back
Top