Snow plowing delivers an essential service during winter months in northern states. They maintain roadways, parking lots, and driveways, ensuring unimpeded transportation and logistics. While this business can be very profitable, especially if it’s a mild winter, there are plenty of things that can go wrong and potentially be extremely costly. Since you are driving all over the city, and in and out of various driveways, accidents are almost inevitable. While snow plowing insurance is mandatory in certain cities and states, even if it weren’t, anyone in this business should be hesitant to perform the service without coverage.

In this guide, we will provide all the information about snow plowing insurance cost you need to make the best decision about your own policy.

We Cover in This Guide

• How much does snow plowing insurance cost?
• What is snow plowing insurance?
• What does snow plowing insurance cover/not cover?
• Benefits and risks
• Tips for buying
• FAQ
• Summary
• All types of insurance you may need

How Much Does Snow Plowing Insurance Cost?

Snow plowing insurance cost can be as low as $400 per year and as high as $2,000, depending on your coverage, location, places plowed, payroll, sales, experience, number of employees, and equipment. Premium prices for typical policies are as follows:

Most providers offer customized policies with additional insurance to cover your company’s specific requirements.

What is Snow Plowing Insurance?

Snow plowing insurance provides pivotal protection for the activities that could result in liabilities in the snow removal business. Whether an accident causes damage to a client’s property, your own vehicle, or an injury to an employee or third party, snow plowing insurance policies protect you from potential lawsuits. An adequate snow plowing insurance policy covering all your needs is essential for any plowing business.

What Does Snow Plowing Insurance Cover?

No matter how careful you and your employees are, accidents could happen and mistakes could be made. You can go outside the driveway and dig into someone’s lawn; skid on ice and crash into their property; or while driving on icy or snowy roads, you can get into an accident damaging your own vehicle and injuring another driver. Standard snow plowing insurance policies typically protect you from expensive and time-consuming lawsuits from these scenarios and others that include:

• Third-party bodily injury
• Third-party property damage
• Personal injury
• Product/completed operations
• Physical damage and collision
• Work-related injury and illness
• Ongoing medical care (such as rehab)
• Missed wages during recovery

What Does Snow Plowing Insurance Not Cover?

Despite the various risks you are protected against with most snow plowing insurance policies, certain risks may require additional insurance. They can include:

• Breakdown, damage, or theft of your own equipment
• Repayment to clients for unsatisfactory work
• Loss or damage to property while in transit or offsite

Review your policy to understand your coverage, if there are any gaps, add additional insurances to create a package that provides full protection.

Benefits and Risks

Snow plowing insurance offers various benefits to cover risks, including:

• Cover legal expenses: If a client, employee, or third-party files a lawsuit against you, snow plowing insurance will cover the expenses, including attorney fees and damages.
• Peace of mind: ​Knowing that your business is covered in case something happens outside of your control gives peace of mind to you and your customers. Additionally, clients are more likely to choose snow plowers who are adequately insured.
• Protect your assets: Whether you are a sole proprietor or have a larger business, causing injuries or damages can be extremely costly and can lead to bankruptcy.

Tips for Buying

When considering snow plowing insurance cost, keep the following in mind before making your decision:

• Work with an independent agent: An independent insurance agent will help direct you toward providers with the best rates and the most experience covering snow plow businesses.
• Bundle policies: Companies will often provide discounted rates when you combine certain key coverages. Check with your provider to see what is available.
• Compare quotes: Policy costs vary between insurers. Consider several quotes to find the best rates and coverage.

FAQ

My business employs a crew that uses their own trucks and plows. How do I protect myself?
Purchase hired and non-owned insurance coverage. This policy will cover your business for liabilities from third-party injury and property damage involving accidents when employees are using their own cars. It will not pay for their personal liability or damage to their car.

Does commercial auto insurance automatically cover snow plowing?
It depends on your provider. First, check with your insurance company to see if your policy covers plowing. If it doesn’t, you will need to add it. This can sometimes be complicated since not all insurers provide snow plowing coverage. Instead of simply adding this coverage, you may need to switch to a new provider.

How much does the price of general liability vary by state?
General liability costs can vary considerably by state. Each state determines its own rate and has its own minimum for limits. For example, New Jersey requires a minimum coverage of $5,000 while New York is $15,000.

Summary

Snow plowing insurance protects against potential financial ruin from lawsuits relating to your business activities. By understanding snow plowing insurance cost and determining your needs, you can know that your policy covers your potential risks and feel secure that your business is protected.

All Types of Insurance You May Need