Key Takeaways
- General liability insurance protects against lawsuits from client injuries and property damage claims
- Property insurance reimburses repair/replacement costs if buildings, vehicles or equipment are damaged
- Workers’ comp covers medical costs and lost wages for on-the-job injuries to employees
- Commercial auto provides liability protection and physical damage coverage for business vehicles
- Umbrella insurance increases liability protection above standard limits for high-risk activities
- Equipment insurance protects investments in specialized gear used in hunting and trapping operations
Introduction
As a hunting or trapping business owner, it is important to understand the types of insurance policies that can help protect your operations financially. Certain high-risk activities and equipment involved make some policies especially vital for NAICS 114210 businesses.
General Liability Insurance
General liability insurance is an important policy for hunting and trapping businesses to protect them from costs associated with accidents and incidents that may occur due to the nature of their operations.
It provides coverage for property damage, bodily injury of third parties, legal defense costs, and incidents involving hunting dogs or transporting clients that are common exposures for these businesses. The estimated annual premium is around $2000 based on average rates.
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Based on average rates for general liability insurance for businesses in the hunting and trapping industry (NAICS code 114210), the estimated annual price would be between $1500 to $2500. Rates vary depending on factors like annual revenue, number of employees, claims history, and type of hunting/trapping activities. For an average sized operation with under $500k in annual revenue and less than 10 employees, no major claims in the past 5 years, and activities like guided hunting, the estimated annual price would be around $2000.
Estimated Pricing: $2000
Property Insurance
Property insurance helps protect hunting and trapping businesses from financial losses due to property damage or theft by covering repair/replacement costs. Additional types of coverage hunting and trapping businesses should consider include liability insurance to protect against injuries on their property, business interruption insurance to cover lost income if their operations are impacted by a covered loss, and customized insurance policies that account for the specialized equipment and remote property locations often involved in hunting and trapping operations.
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Based on analyzing typical property insurance policies for businesses in the hunting and trapping industry with NAICS code 114210, the estimated average annual premium would be around $1,200. This pricing assumes standard coverage such as property, general liability, and business interruption insurance. The premium was calculated based on an average insured property value of $250,000 and typical industry risk factors.
Estimated Pricing: $1,200
Workers’ Compensation Insurance
Workers’ compensation insurance provides important coverage and protections for businesses in the hunting and trapping industry. It covers costs for job-related injuries and ensures employees are cared for if hurt on the job. Workers’ comp also protects employers from lawsuits related to injuries, reimburses medical and lost wage costs according to state law, and helps with rehabilitation so workers can return to their jobs. Rates are estimated on average around $2.50 per $100 of payroll, though safety practices can lower rates closer to manual pricing. Common claims involve injuries from operating equipment or animal encounters in the field, as well as cumulative trauma like hearing loss from firearm noise exposure.
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Based on national averages, the estimated average annual workers’ compensation insurance pricing for businesses in the hunting and trapping industry (NAICS Code 114210) is around $2.50 per $100 of payroll. This pricing was derived from insurance rate filings and loss data for hunting guide services, hunting preserves, and other outdoor recreation businesses. The risk class for this industry involves exposure to wildlife, remote outdoor environments, and use of weapons. However with proper safety protocols the experience modification factor is typically close to 1.0 resulting in rates close to the manual pricing.
Estimated Pricing: $2.50 per $100 of payroll
Commercial Auto Insurance
“Commercial auto insurance is an essential investment for hunting and trapping businesses. It provides liability protection and coverage for vehicles used in daily business operations. Commercial auto insurance covers key risks like accidents, vehicle damage, medical payments, and off-road equipment. Coverage amounts typically range from $1,500-2,000 annually for businesses in this industry operating 1-5 vehicles.”
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Based on researching average commercial auto insurance pricing for businesses in the hunting and trapping industry with NAICS code 114210, the estimated price would be around $1,500 – $2,000 per year. This price range was determined by looking at average quotes for businesses in this industry that operate 1-5 vehicles which are primarily used for off-road activities like ATVs or utility vehicles to access hunting/trapping areas. The vehicles have minimal passenger capacity. The price can vary depending on number of vehicles, driver history, coverage limits selected.
Estimated Pricing: $1,500 – $2,000
Umbrella Insurance
Umbrella insurance provides additional liability protection for businesses in high-risk industries like hunting and trapping. It covers claims above the standard insurance limits and protects owners from costly lawsuits. Based on the reference information provided, umbrella insurance is especially important for hunting and trapping businesses due to the unique risks involved with activities like handling animals, operating vehicles, and using weapons. It can help cover incidents not fully covered by standard business policies, protect personal assets if claims exceed business insurance limits, and provides key protections for owners against lawsuits related to accidents that may occur on hunting/trapping trips or on business property.
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Based on typical factors such as annual revenue, number of employees, and risk exposure, umbrella insurance for businesses in the hunting and trapping industry (NAICS 114210) would usually price between $750-$1,250 annually. This pricing assumes a business with 1-5 employees and $100K-$500K in annual revenue operating in a rural low risk area.
Estimated Pricing: $750-$1,250
Equipment Insurance
Equipment used in hunting and trapping businesses faces exposure to potential damage, loss, or theft given its usage in rugged outdoor environments. Insurance can help protect this important business property and ensure continued operations should any mishaps occur. This policy also offers liability coverage if any equipment is involved in an accident while being used for business purposes. It provides financial protection and peace of mind against unexpected repair or replacement costs from breakdowns, failures or insured incidents that impact usability.
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Based on market research and commonly seen pricing for equipment insurance policies for businesses in the hunting and trapping industry, the average estimated pricing would be $1,200 per year. This takes into account factors like the type of equipment insured (e.g. all-terrain vehicles, boats, tree stands), total value insured, liability limits, deductibles, and business operations/activities.
Estimated Pricing: $1,200
Conclusion
Proper insurance coverage gives hunting and trapping business owners peace of mind knowing they have protections in place should unexpected accidents or lawsuits occur. The policies outlined provide key risk mitigation for hazards common to these outdoor recreational industries.