5 Types of Insurance Every Cleaning Business Should Have
Running a cleaning business comes with real risks—broken valuables, slip-and-fall accidents, employee injuries, and more. That means getting solid insurance for cleaning business owners is a necessity. One uncovered incident could cost you thousands of dollars, damage your reputation, and put your business at serious risk.
According to the U.S. Small Business Administration, lawsuits typically cost small businesses anywhere from $3,000 and $150,000—and many don’t survive them. So, what coverage do you actually need? Let’s take a look at why coverage matters, and discuss five must-have types of insurance for cleaning businesses.
Why Insurance Matters for Your Cleaning Business
Cleaning businesses face a unique set of risks. Your team works inside clients’ homes and offices, handles expensive belongings, and uses chemicals and equipment that can cause damage or injury. A single accident—a cracked countertop, a slip on a wet floor, or an injured employee—could result in a costly claim.
The good news? The right insurance for cleaning business operations protects you from most of these scenarios, keeping your finances—and your reputation—intact.
1. General Liability Insurance
General liability insurance is the foundation of any solid coverage plan. It protects your business from third-party claims involving bodily injury, property damage, and related legal costs.
Say one of your cleaners accidentally knocks over an expensive vase, or a client slips on a wet floor after your team mops. General liability covers medical expenses, attorney fees, and settlements so you’re not paying out of pocket.
2. Workers’ Compensation Insurance
If one of your employees gets hurt on the job—say, from a chemical burn or a fall off a ladder—workers’ compensation covers their medical bills and lost wages. It also protects you from being sued by an injured employee.
Most states require workers’ compensation for businesses with employees, so this is often non-negotiable. Even if it weren’t required, it’s a smart investment for any cleaning business with staff.
3. Business Owners Policy (BOP)
A Business Owners Policy, or BOP, bundles general liability and commercial property insurance for cleaning businesses into one convenient, cost-effective package. This makes it a popular choice for small and medium-sized businesses looking to simplify their coverage.
Beyond the basics, a BOP can often be customized with additional protections, like business income insurance (which covers lost revenue if you’re forced to close temporarily) and coverage for on-site equipment.
4. Commercial Auto Insurance
Your personal auto insurance won’t cover accidents that happen while driving for work. If your team uses vehicles to travel between job sites, you need commercial auto insurance.
This policy protects your business if a company vehicle is involved in an accident, whether it’s a minor fender bender or a more serious collision. It covers vehicle damage, medical bills, and liability claims.
5. Umbrella Insurance
Sometimes, a claim exceeds the limits of your standard policies. Umbrella insurance provides an extra layer of liability coverage that kicks in when your other policies max out.
For cleaning businesses that work with high-value clients or large commercial properties, umbrella insurance can be a cost-effective way to get significantly higher coverage limits.
Frequently Asked Questions
Skimming for answers? Here are some FAQs:
Do cleaning businesses need insurance?
Yes. Cleaning businesses face liability risks every day, from property damage to employee injuries. Having the right insurance for cleaning business operations protects you from financial losses that could otherwise shut down your business.
Is general liability insurance required for cleaning businesses?
It’s not always legally required, but many clients and commercial contracts will require you to carry it before they hire you. It’s strongly recommended regardless.
What happens if a cleaning employee damages something in a client’s home?
General liability insurance typically covers property damage caused by your team. Your insurer would handle the claim, covering repair or replacement costs up to your policy limits.
Do cleaning businesses need workers’ compensation insurance?
Most states require workers’ compensation if you have employees. Even as a sole proprietor, it’s worth considering, since it protects you if you’re injured while working.
Does cleaning business insurance cover stolen equipment?
It depends on your policy. A Business Owners Policy (BOP) can include coverage for stolen or damaged business equipment, but you should confirm the specifics with your insurance provider.
Get the Right Coverage for Your Cleaning Business
Protecting your cleaning business doesn’t have to be complicated. Whether you’re just starting out or looking to update your insurance for cleaning business, the team at Bethany Insurance can help you find the right coverage—at a price that works for your budget.
Speak with a Bethany Insurance specialist today and get a personalized quote.
