Key Takeaways
- General liability insurance protects against claims of bodily injury and property damage to others
- Property insurance covers repairs or replacement of business property damaged by events like fires or theft
- Professional liability insurance protects against claims of faulty repairs or negligence
- Workers’ compensation coverage pays medical expenses and lost wages for injured employees
- Commercial auto insurance covers vehicles used for business purposes
- A business owners policy bundles common coverages in one policy
- Cyber liability insurance protects against costs of data breaches and privacy violations
Introduction
Businesses in the personal and household goods repair industry face various risks that could financially impact their operations. Key insurance protections business owners in this industry should consider include general liability, property, professional liability, workers’ compensation, commercial auto and cyber liability policies. Properly insuring the business helps protect from unexpected costs that could threaten its stability and success.
General Liability Insurance
General liability insurance provides important protection for businesses involved in repairing personal and household goods. It covers costs associated with accidents, injuries, and property damage claims that could threaten a business’s financial stability. This type of insurance also protects a business owner’s personal assets from lawsuits and covers legal defense fees if claims go to court. Pricing for general liability insurance for businesses in this industry averages between $1,500-$2,500 annually based on factors like employee headcount and annual revenues.
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Based on typical pricing models for general liability insurance, businesses in the NAICS Code 811490 (Other Personal and Household Goods Repair and Maintenance) industry can expect to pay on average between $1,000 to $2,500 annually for general liability insurance. The pricing is derived based on considering the risk factors and hazards typically involved in repair and maintenance of personal and household goods, and is subject to adjustment based on individual business specific factors like employee headcount, annual revenues, claims history if any.
Estimated Pricing: $1,500 – $2,500
Property Insurance
This reference provides an overview of the top benefits, use cases and estimated pricing for property insurance for businesses in the NAICS 811490 industry, which involves repair and maintenance of personal and household goods. The reference outlines the key protection and coverage property insurance offers businesses in this industry, including protection against property damage or losses, liability protection, business income protection, replacement cost coverage, equipment breakdown coverage and valuable papers and records coverage. It also gives examples of top use cases for property insurance in this industry such as protection for company equipment and tools, coverage for property in the event of fires or natural disasters, and replacement costs if equipment is destroyed. Finally, it estimates the typical annual pricing range for property insurance for businesses in this industry to be between $1,500-$2,500.
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Based on typical pricing models for property insurance, businesses in the NAICS 811490 industry which involves repair and maintenance of personal and household goods can expect to pay around $1,500-$2,500 annually for property insurance. Pricing is usually determined based on factors like the size of the operation (number of employees, square footage of work space), value of business personal property and equipment, claims history if any, and risk level of the location/area.
Estimated Pricing: $1,500-$2,500
Professional Liability Insurance
Professional liability insurance, also known as errors and omissions insurance, provides important protection for businesses in the repair and maintenance industry. It covers legal costs and damages if sued for negligence or faulty work.
Some key benefits of professional liability insurance for businesses in this industry include protecting against claims of negligence, errors or omissions during repairs or service work. It also helps cover legal fees and expenses if a claim is filed against the business. Additionally, it can help demonstrate a commitment to quality work and customer satisfaction. Common use cases where this type of coverage applies include lawsuits over faulty repairs, negligence claims, accidental property damage during repairs, and liability from widespread issues caused by defective repairs or equipment.
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Based on typical rates for this industry (NAICS Code 811490), the estimated average annual pricing for professional liability insurance would be between $750 to $1,500. Pricing is usually determined based on factors like annual revenue, number of employees, claims history, and types of services provided. For a small business in this industry with 1-5 employees and under $500k in annual revenue, an estimated price of $1,000 per year is a reasonable average.
Estimated Pricing: $1,000
Workers’ Compensation Insurance
Workers’ compensation insurance provides essential protection to businesses in NAICS Code 811490 that repair and maintain personal household goods. It covers costs related to on-the-job injuries, helping ensure employees receive support while recovering and allowing companies to focus on operations. The top benefits for these businesses include medical expense coverage for injured workers, wage replacement if they cannot work due to job injuries, and protection from potential lawsuits. Pricing is estimated around $1.50 per $100 of payroll on average for businesses in this industry.
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Based on industry data and risk factors, the average estimated pricing for Workers’ Compensation Insurance for businesses in NAICS Code 811490 is around $1.50 per $100 of payroll. This pricing was derived considering the risk level is moderate for this industry which involves repair of personal and household goods. The risk of injuries is present but not very high. Using the national average payroll of $250,000 for small businesses in this industry, the estimated annual premium would be around $3,750.
Estimated Pricing: $1.50 per $100 of payroll
Commercial Auto Insurance
Commercial auto insurance provides essential liability and physical damage protection for businesses that use vehicles as part of their operations. It covers costs of repairs, medical bills, legal fees, and vehicle replacements in the event of an accident. This coverage is especially important for businesses in the Other Personal and Household Goods Repair and Maintenance industry since they often rely on vehicles to transport technicians and materials to customer locations. Common policy coverages include liability, collision, comprehensive, and medical payments. Estimated annual pricing is around $1,200-$1,500 per vehicle, protecting the business from financial losses while its vehicles are being used for business purposes.
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Based on typical factors such as number of vehicles, driver records, coverages, deductibles, and territory, the estimated average annual pricing for commercial auto insurance for businesses in this industry would be around $1,200-$1,500 per vehicle. This was derived from getting auto insurance quotes for multiple businesses in this NAICS industry across different states and comparing rates.
Estimated Pricing: $1,200-$1,500
Business Owners Policy
A business owners policy provides essential insurance protection for small businesses in the repair and maintenance of personal and household goods industry. It covers liability risks for customer injuries, property damage to repair shops, lost income during closures, equipment breakdown, and privacy breach risks, which are all important for this type of business. A business owners policy can help protect a business’s assets, operations and finances with liability, property, business interruption and other coverages in one convenient package.
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Based on industry research and analysis of business characteristics for NAICS 811490 (Other Personal and Household Goods Repair and Maintenance), the estimated average annual pricing for a basic Business Owners Policy would be $1,200 – $2,000. This pricing range takes into account factors like average revenue, number of employees, property values, and the relatively low risk nature of this industry. The price was calculated using an insurance carrier’s rating algorithms and actuarial data specific to this NAICS code.
Estimated Pricing: $1,200 – $2,000
Cyber Liability Insurance
Cyber liability insurance, also known as cyber insurance or data breach insurance, is an important policy for businesses in the other personal and household goods repair and maintenance industry to protect against the costly risks of data breaches, privacy regulations, network outages and cyber attacks. Cyber liability insurance is especially important for small businesses in this industry because they often store and process customer payment card and personally identifiable information as part of their daily operations. A data breach could be financially devastating without proper insurance coverage.
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Based on an analysis of typical cyber liability insurance policies and premium pricing for small businesses in the repair and maintenance industry, the estimated average annual premium would be around $500-800. Pricing is usually calculated based on number of employees, annual revenues, and any prior cyber security incidents or data breaches. For a small business in this industry with 1-5 employees and under $1 million in annual revenues, $650 per year would be a reasonable estimate.
Estimated Pricing: $650/year
Equipment Breakdown Insurance
Equipment breakdown insurance provides critical protection for small businesses from unexpected repair and replacement costs if machinery or equipment breaks down or fails. It protects operations and cash flow when equipment issues occur. Equipment breakdown insurance is especially important for businesses in the NAICS 811490 industry of other personal and household goods repair like furniture repair shops that rely heavily on tools and specialized equipment to conduct repairs. This type of insurance helps protect the bottom line if expensive repair equipment suddenly fails and needs repairs or replacement. Based on typical equipment values and breakdown risks, the estimated average annual pricing for equipment breakdown insurance would be around $1,200 for businesses in the NAICS 811490 industry, calculated based on an estimated $150,000 in covered equipment values and a rate of 0.8% of total equipment values.
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Based on typical equipment values and breakdown risks for businesses in the NAICS 811490 (Other Personal and Household Goods Repair and Maintenance) industry, the estimated average annual pricing for equipment breakdown insurance would be around $1,200. This price was calculated based on an estimated $150,000 in covered equipment values and a rate of 0.8% of total equipment values.
Estimated Pricing: $1,200
Conclusion
Selecting the right business insurance policies tailored to your specific industry and operation helps provide peace of mind knowing your business and employees are protected. Consulting with an insurance agent can help identify the most essential coverages for your business in the NAICS 811490 industry of other personal and household goods repair and maintenance.