I have started a "handyman" buisiness and will need liability insurance. First, why are so many companys not willing to quote? Second, I have a welder, I cant find anyone willing to quote for that at all, why not? Finaly, with regards to welding, I have heard the term "insured and bonded" how do you get bonded and what is it for?
2007-11-29 01:56:13 · 2 answers · asked by foolofjoy 2 in Business & Finance ➔ Small Business
Without knowing all your circumstances, one of the reasons you'll find insurers being unwilling to quote is because welding and some of the other jobs a handiman might do are associated with high risk.
I'd suggest calling a local Small Business Development Office (they are government-run and offer free help to small businesses) and ask if they know of any broker who can find you insurance. Join or attend meetings at your local Chamber of Commerce and ask people there the same question.
As far as being bonded and insured, the insurance would be to protect the places you do business with from being sued if your company accidentally did anything that caused damage or injured anyone. Bonding is insurance that protects your customers from monetary loss due to theft or other illegal activity by anyone working for you.
An insurance broker should be able to help you with bonding, too.
2007-11-29 02:16:35 · answer #1 · answered by Janet A 2 · 0⤊ 0⤋
"bonded" is an insurance contract which assures your customers that you will complete the work and thus they can trust you with an advance deposit. As you'd guess, representing that you are bonded when either you aren't or the contract expires before you've done the work is a crime -- it is called fraud in the inducement in some states.
you need a commercial lines insurance broker to respond to the rest.
2007-11-29 02:01:29 · answer #2 · answered by Spock (rhp) 7 · 0⤊ 0⤋