Insurance for structural welding

[obiewelds]

I'm wondering what a good cost for insurance, monthly and annually. I don't have any certs right now. Will within the year. Just wondering with a military signing bonus if I purchased a welder now and could safely weld for a living on my own.

[wroughtnharv]

Good luck getting liability insurance on your work without a history (previous policy).

I don't know any owner operator shops around me that can carry the insurance. I do but my dollar volume is low and I've never had a claim, plus I pay the premium up front.

I have a two million general liability policy. I also carry a million/million on the truck. The last policy on the truck came in too high I thought and shopped the policy out this time. I've always carried 100,000/300,000 and tried to get that. My agent couldn't until I went to million/million and saved me about five hundred on the renewal with the old carrier.

I also have a different perspective on liability insurance. A lot of people see it as a necessary thing to keep their own stuff. I see it as being all about protecting the other guy. Imagine how you would feel if you made something and a child was permanently injured?

[obiewelds]

Good luck getting liability insurance on your work without a history (previous policy).

I don't know any owner operator shops around me that can carry the insurance. I do but my dollar volume is low and I've never had a claim, plus I pay the premium up front.

I have a two million general liability policy. I also carry a million/million on the truck. The last policy on the truck came in too high I thought and shopped the policy out this time. I've always carried 100,000/300,000 and tried to get that. My agent couldn't until I went to million/million and saved me about five hundred on the renewal with the old carrier.

I also have a different perspective on liability insurance. A lot of people see it as a necessary thing to keep their own stuff. I see it as being all about protecting the other guy. Imagine how you would feel if you made something and a child was permanently injured?

Safety has been a top priority to me for a while now. Really why I want to purchase the insurance. If you don't mind me asking. How much did you pay for your premium?

[wroughtnharv]

I figure 5% of sales. So right off the gate I try to be ten percent higher than the competition because it might be higher if I'm audited. I have been audited and never had issues.

There are some competitive advantages to having the general liability. One of them is you get to do government and business to business work that others can't qualify for. You get preference and respect as a subcontractor because the contractor doesn't have to cover your policy. They will still carry an umbrella policy of course but most contractors that have to add your liability cost charge you dearly for the service.

[snoeproe]

I have always welded structural for someone else. Never had my own company on the line. Insurance was my employers responsibility when I'm dispatched to a job out of the Union hall.

[fabricator]

There are many types of coverages. General Liability, Bonded, Product Liability, etc. What Mr.Harve states, " Imagine how you would feel if you made something and a child was permanently injured? " would not be covered under General Liability but rather Product Liability. General Liability is usually required for work performed on premises which is required for most jobs I do now. I started out years ago with 1 million but now keep 3 million. Cost of coverage is associated under several factors such as income, employees, work history. Expect to pay around $ 2,000 for 1 million yearly.

[wroughtnharv]

There are many types of coverages. General Liability, Bonded, Product Liability, etc. What Mr.Harve states, " Imagine how you would feel if you made something and a child was permanently injured? " would not be covered under General Liability but rather Product Liability. General Liability is usually required for work performed on premises which is required for most jobs I do now. I started out years ago with 1 million but now keep 3 million. Cost of coverage is associated under several factors such as income, employees, work history. Expect to pay around $ 2,000 for 1 million yearly.

The topic wasn't about product liability. When you are working as a welder chances are most likely you are making something.

I've never heard of general liability polices premiums based upon anything but sales. I know a ton of contractors that would jump on $2,000.00 for million dollar coverage. One bud just got hit $3,500.00 for less than a half a million sales on a million dollar policy.

One of the factors when writing my policy was I dig post holes for gates that can go down twelve feet. The fact that they can be deeper than two feet made them nervous, think buried fiber optic cables for instance.

[GlenC]

..... Imagine how you would feel if you made something and a child was permanently injured?

I don't think it would change how I felt whether I had no insurance or $20M.... It would make things easier on the legal side (other than the lawyers wanting it all)

Insurance coverage to protect yourself is a good idea!

[JSFAB]

This subject has been covered and discussed many times in the past, anybody interested should do a search. And experiment with different search terms, the search function on this website isn't that good.

Short answer, just starting out in business, you will NOT get any AAA rated insurance companies to provide you with coverage. Most, if not all, major USA insurance companies require at least two years insurance history before they will extend you coverage.

What you can do: take coverage with an off shore company, a highly rated one, Scottsdale comes to mind. Two years, then you can shop around as much as you want.

You might not get cheaper coverage after that, but maybe better coverage.

My point of view comes from two ways, one is I started business 30 years ago, I have been dealing with insurance ever since.

Second, about 15 years ago I married a gal that works for a major insurance company, her boss at the time specifically told her, "Two things we don't like, one is roofers and the other is welders." Thankfully, she married me anyway, but she STILL cannot get me coverage with her company, but that's not why I married her. However, she does and can tell me what is going on within whatever company I am with anytime I have an insurance problem.