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Welding Shop Business Insurance
Running your own welding shop can be as simple as working for yourself, having an apprentice, or having numerous other welders and employees on your payroll. Regardless of how large or small your welding company is, it’s subject to everyday risks and unexpected hazards that can be difficult to deal with on your own. Protect your company and everything you have invested into it by covering it with welding shop business insurance.
General Liability Insurance
A must-have for any welder shop, general liability insurance covers the basics: bodily injury, property damage, and lawsuits that arise from everyday operations. If a customer trips in your shop or if welding sparks damage a client’s property, you’re covered.
What’s Covered:
- Each Occurrence: Pays for damages from a single event, like a customer injury or accidental property damage.
- Damage to Rented Premises: If you rent your shop, this covers damage to the building itself, like fire or water damage.
- Medical Expenses: Covers medical costs if someone is injured at your shop, like a customer or third-party contractor.
- Personal and Advertising Injury: Protects you if someone sues for slander or libel.
- General Aggregate: The maximum amount your insurance will pay during the policy period for all claims combined.
- Products/Completed Operations: Covers claims related to work you’ve finished, like if a weld fails after the job is done and causes damage.
Business Owner’s Policy (BOP) for Welder Shops
A Business Owner’s Policy (BOP) is an excellent option for small to medium-sized welder shops. It combines general liability and property insurance into one package, giving you comprehensive coverage at a lower cost.
Coverages Included in a BOP:
- General Liability: Protects against lawsuits for injury or property damage.
- Property Insurance: Covers your building, welding equipment, and other business property if they’re damaged in a fire, theft, or natural disaster.
- Business Interruption Insurance: Provides income replacement if your shop has to close temporarily due to a covered event, like a fire.
BOP Claim Example: Imagine there’s a fire in your shop, and it damages not only your welding equipment but also your client’s materials. A BOP would cover the cost of replacing both, and business interruption insurance would help you stay afloat while your shop is being repaired.
Commercial Auto Insurance for Mobile Welders
If you or your employees drive a company truck to job sites, you'll need commercial auto insurance. It covers damages if there’s an accident while on the job, whether it’s property damage or injuries to third parties.
Inland Marine Insurance for Off-Site Welding Work
Welders who transport equipment to job sites will benefit from inland marine insurance, which covers your tools and materials while they’re in transit. If your equipment is stolen from your truck or damaged while en route, you won’t be left high and dry.