How Much Does HVAC Technician Insurance Cost?

With all the new construction projects going on in Ontario, Canada there really has never been a better time to be a HVAC technician. Not only are there ample business opportunities available, but also the field itself is very exciting. You will literally never see two jobs that are completely the same. Sure, they are going to be similar, but you will be dealing with different individuals and different types of equipment. That being said, before you get your business off the ground, you are going to need business insurance in order to get licensed and meet contractual agreements. Insurance is by no means inexpensive or easy to understand and this guide will break down the annual costs along with the types of insurance available to protect your heating and air business.

We would recommend starting off by watching Dean Casey’s video about insurance and permits that hvac techs should know about. This video will also simplify the insurance wording for you so you can better understand the content.

How Much Will General Liability Insurance for HVAC Technician Cost?

General liability insurance might be one of the most basic types of policies available to the heating and air company, but it also one of the most important. Why is it one of the most important? Heating and air general liability insurance has the power to protect you and your employees in the event that while on the job you cause bodily harm or property damage to the customer. For instance, heating and air techs oftentimes have to lift and move heavy pieces of equipment. If you are putting in a new piece of equipment and drop it or damage it in any manner, general liability insurance will cover to replace the new equipment.

It will also cover any medical expense if you harm the customer. Maybe you drop a tape measure from a ladder and hit a customer. General liability insurance will cover any of the dental expenses. Hvac technician insurance also protects you from lawsuits. When rectifying the situation by repairing damages or paying for medical expenses aren’t enough, the customer has the option of taking legal action. This policy will cover any of the lawyer fees and court costs that you experience throughout the whole ordeal. Experts in the industry would recommend acquiring at least a $1,000,000, which could run anywhere from $398 to $1,204 annually.

Factors That Impact Your General Liability Insurance Costs

Just keep in mind that the aforementioned numbers are just a basic estimate for most average heating and air companies in the Ontario area. There really is a number of factors that can impact your costs and your company mind wind up paying less or more. Some of these factors can be your company’s size, the amount of money you make on each job, the number of years you’ve been in business, the amount of claims that you have made in the past, and the number of jobs that you do on a daily basis

How Much Will Commercial Auto Insurance Costs?

What would a HVAC tech be without his van or truck? The company vehicle is an essential tool for any heating and air tech. Not only does it serve as a means of transporting your tools from location to location, but when you paint your logo and contact information on the side, it literally becomes a rolling billboard. That being said, in order to turn this vehicle into a rolling billboard you are going to need what is known as commercial auto insurance. This special insurance can protect you and your employees in a variety of ways.

Commercial auto insurance will pay for repair damages or medical expenses in the event that you or one of your techs hit someone. It will also pay for property damages in the event that you or one of your techs backs into a porch, statue, or mailbox. These policies can even cover damages that are incurred by tools that fall off the back of the truck, which happens more than you might imagine. Most average businesses in the Ontario heating and air contractors will pay anywhere from $1,267 to $4,199 annually for this type of coverage according to insureon.

Factors That Impact Commercial Auto Insurance Costs

Once again, these numbers are just a basic estimation of what you might pay. Some of the factors that can change your total costs are the number of employees driving, the number of company vehicles, employees past driving record, your own past driving record, and the number of claims that you have made.

How Much Will Workers Compensation Insurance Cost?

You will find that just about every province in Canada, especially wsib in Ontario, requires businesses with employees to carry workers compensation insurance. Even if the law did not require this, it would still be a good ideal to pick up a policy. This is a type of insurance that was specifically designed to protect your employees. HVAC techs are exposed to many risks on a daily basis. They have to crawl through muck, work in asbestos and insulated filled attics. And, this is not to even mention all of the lifting. It would be extremely easy for one of your employees to get injured at any given time.

Workers compensation protects your employees in these exact situations. If an employee is injured on the job, this policy will kick in and offer the protection you need. It will cover the employee’s medical expenses, their time off work, and in some cases it will cover death and disability claims. Most average Ontario heating and air contractors are paying anywhere from $391 to $9,061 a year for this type of insurance.

Factors That May Impact Workers Compensation Insurance Costs

While the above numbers are just a basic estimation, there are several key factors that will impact your business’s overall costs for workers compensation. Some of these factors are the number of employees your have, your current safety record, and the number of claims that you have made in the past.

The Importance Of Bundling

You probably already know that insurance is a necessity, but it is necessary to ensure the protection of any heating and air company in the Ontario area. This is why bundling is important. Not only does bundling allow you to design insurance policies that will protect you against your specific risks, but also it will help lower your annual and monthly premiums.

How Your Business Can Go About Avoiding Insurance Claims

If you are seeking out business liability insurance in the Canada region, you need to be aware of the fact that your business insurance doesn’t really cover everything. Of course, this can sound a bit weird coming from an insurance broker like LiabilityCover, but the truth of the matter is that Business Insurance Ontario is a complex and complicated subject as liability insurance packages deferential from one broker to the next. There are so many different policies and some of them might not even make sense at first. While you might be compensated for the loss of property or damages, your insurance provider does not cover the hassle that it takes to get the property replaced or repaired.

risks that can cause damage a cause a business liability insurance claim

Avoid Filing Claims

While your provider might pay for a broken window, you are the one that has to spend the time and effort finding someone to replace that window. This is why it is best to avoid filing a claim in the first place. This is not to even mention the fact that filing claims only makes your premiums surge higher. With a bit of planning and managing you can avoid filing claims and keep your premium at a minimum and below that is exactly what you will learn about.

Equipment Failure And Breakdowns

If you are a business that depends on certain equipment and machinery on a daily basis, you probably have that equipment and machinery insured. Without the equipment your business operations would come to a grinding halt. With that being said, you can avoid filing claims on these items by making sure that they are properly maintained and cared from on regular schedule. If you notice that a certain machine or piece of equipment is starting to show wear and tear, go ahead and make the necessary repairs. This will help prevent a complete malfunction in the future.

Proper maintenance and care will go a long way to saving you money in the long run as compared to filing a claim.

Theft By EmployeesBusiness theft protection

You would be surprised to learn how many claims are filed each year, just because employees are stealing from their employer or embezzling money. With most companies switching over to online banking and bookkeeping, it is truly making it harder to detect fraud and embezzlement within the company. This is why it is imperative that you always have staff members sign off on everything that they do. In addition to this, it does not hurt to bring in an outside auditor to check your books and records regularly. If you suspect that something may be off in the accounting department, be sure to initiate a thorough investigation.

Preparing For Storm Damage

If you are located in an area that is prone to flooding or storms sometimes it can be truly hard to prevent filing a claim. However, there are things that you can do to reduce the severity of the claim. For instance, make sure that the ceilings, gutters, drainpipes and roofing systems are getting the proper maintenance they need. In the event of a heavy rain a weak roof or clogged drainpipes could result in major damages. All of which could have potentially been avoided with simple routine maintenance.

Properly Protecting Your Business Computers And Equipment

In today’s world, just about every business will have a network of computers or even several different networks. In fact, the computer has almost become a vital part of every business and even the smallest incident could result in a costly insurance claim that will later result in higher premiums. You would be surprised to learn how many computer a knocked over, stolen, fried due to power surges, and water spills.

However, you can simply prevent all this by making sure that no snacks and drinks are allowed around the computers. You can also purchase hardware that will allow you to lock down computer monitors and other hardware, so they can’t accidentally be knocked over.

Liability Claims

Liability claims are without a doubt one of the most common types of claims that insurance providers see yearly in the Canadian region. Whether it has to do with damaged property or injured employees, liability claims are all too common. While it can be hard to prevent everything there are things that you can to do to prevent 80 percent of these claims. Simply, host weekly safety classes, and show up unannounced on jobs to make sure employees are following all safety precautions and procedures.

Keep Property Clutter Free

To avoid accident claims, you should definitely keep the interior of the building and exterior perimeter clutter free. Most accidents are a result of someone tripping over items, such as electrical cables and rugs. However, cracked sidewalks, slick surfaces and damaged flooring can also be a culprit for falls. If you keep your property and building in good repair, you will never have to worry about these risks, which in turn will help keep your claims to a minimum.

Why Should You Cover Home-based Business With A Good Business Insurance Policy

When you manage your business from home, then home insurance is not enough to cover everything you have in your house. The reason is that your home insurance will cover only the stuff that is your personal belonging and not in any commercial use or your business related inventory, equipments etc. To cover such things, you would need a home-based business insurance ontario policy, even if your business is very small. You should get a cheap business insurance policy along with your home insurance so that if any damages happen to your house, your business related things are also covered with the other insurance.

Whatever may be the liabilities of your business, your home insurance or any other insurance will not cover them, unless it is business insurance policy. So, you should be very careful about your business and every other thing related to it. When your home, auto, lie and health are all covered properly with suitable insurance policies, then why not your business? A small business does not mean it has to be sans any insurance. It is essential for you only and will serve your purpose rightly given that you choose it properly.

Let us say that in case your entire home-based business is on internet and computer and that you have no inventory of anything and you store no business related equipments at your home, then you would not need any business insurance policy. However, if you use internet to sell or purchase anything, in such a case, you will need this insurance policy, without which no coverage will be offered to you for your business losses, even if the peril struck your house. Being wise and deciding on the cheap and affordable business insurance policy will mean that you will get optimum coverage, that you will not be without any coverage and that you are not underinsured too.

It is better for all of us to be prepared for any unforeseen circumstances before they happen. While human errors may be controlled to some extent, we can simply not control or predict any losses caused due to any natural disaster. In such a case, if you lose everything, you will still have enough in hand to make sure that you stand bravely after the fall.

Do You Need Home-Based Business Insurance?

There are many times, when you would want to buy any insurance policy but you have no idea about which type would be suitable for you. Another thing is misinformation. If you own any home based business, then a common notion is that your home insurance will cover the business you operate from home. What you do not know is that your home insurance will not cover anything else than what belongs to your house only. Even if you have kept any stuff belonging to your friend or a third person, it will not be covered by your home insurance.home based business insurance

Your home insurance may be providing you a significant portion of entire income. So why not safeguard it from all the perils that you can imagine about? When you know that home insurance policy is essential for you, then you would know why you need home-based business insurance. Unless you work only on your personal computer and your entire business is maintained on it, you would definitely need to consider good business insurance policy right away.

Generally, home-based business insurance policy is not so expensive. In case you already have any home insurance policy, then you can ask your provider to help you with a business insurance policy too. This can take away a lot of your burner and you may be offered some discount or cheap business insurance policy. Such are the benefits when you reach your existing insurance provider for a new insurance policy.

Using your home as your business premise will entitle you to similar rules and regulation as any other business or commercial unit. So, if any of your customers suffers any kind of loss while at your house/business premise, you will need to provide the coverage so as to take care of the loss of your client. At such times, your business insurance policy will help you in a great way. So, it means that even if you operate a small home-based business, your business insurance ontario coverage will be a very good addition to it and it will safeguard your business better than ever before.

E&O Cost for a Business in Canada

How Much Will E&O Insurance Cost My Business?

At this point in time, it should be no surprise that all Ontario businesses need errors and omissions insurance. The marketplace in Ontario is truly unpredictable and there are lots of consumers cost for liability insurancethat may be willing to file a frivolous lawsuit against you company to try and obtain a substantial amount of money. Nonetheless, a lot of companies will be hesitant to do so, due to the costs associated with yet another insurance policy. How much will errors and omissions insurance ontario cost your business? You’ll find out below.

Nothing Set In Stone

The mass majority of business owners like definite answers. Unfortunately, when it comes to E&O insurance, you won’t receive them upfront. There is nothing set in stone and no universal answer. Each specific business will be required to pay something different. In fact, it is very rare to find two companies that pay the exact same amount for errors and omissions insurance. Instead, there are several key factors that will be taken into consideration, when the Canadian insurance company determines your premium.

Some of these will be examined in greater depth below.

The Size Of Your Company

When the insurance provider receives your application, they’ll immediately analyze the size of your business. This includes looking at the number of employees you have and your annual revenue. In general, a bigger company will be considered a bigger risk and vice versa. This is the case, because bigger entities are working with more clients and they have more employees. Therefore, the potential for problems is substantially higher.

coverage details

Your Industry

It is also vital to remember that your specific line of work will help to determine your overall cost. If the insurance provider feels that you work in a riskier industry, it is likely that they’ll chargeyour exact industry you more than other companies. Companies working in specific industries are more prone to lawsuits and they’ll be deemed riskier than others. This is yet another thing that needs to be considered, when determining your monthly premium.

The Layout Of Your Contracts

Another thing to remember is that it is sometimes possible to eliminate lawsuits, by writing your contracts in a certain manner. A well-written contract can actually decrease your exposure to liability. A poorly written contract will greatly increase your risks. Therefore, the insurance provider will probably want to inspect your contract, before they provide you with a price quote. Enhance the effectiveness of your contract and you may be able to decrease your premium.

Employee Training And Experience

While you’re at it, you should never ignore your employees. Proper training and increased experience can improve the efficiency of your employees, while also decreasing the risks involved. Therefore, the insurance provider may be willing to provide you with a discount, if you offer comprehensive training to all of your workers.

Your History

As the old saying goes, history frequently repeats itself. This is most certainly true for businesses. If a company has been sued several times in the past, it is highly likely they’ll be sued again sometime in the future. And of course, the insurance provider will examine the company’s history when attempting to determine the cost of their premium. To get the most generous cost, it is best to maintain an unblemished history.

Precautionary Measures

Finally, you should remember that your company can take quality control precautions to greatly decrease the potential for a lawsuit. The insurance provider will take note of this as well. If you have an effective quality control protocol in place, you will ultimately be able to reduce the risk, while also decreasing your premium. Be sure to tell your insurance provider of choice about your quality-control protocol, so you can use it to your advantage.

errors and omissions insurance for professionals

Understanding The Need And Purpose Of License And Permit Surety Bonds

License And Permit Surety Bonds

As someone, who resides in Canada, you may very well know all about surety bonds. However, the majority of individuals do not. In fact, most people believe that bonds are investment products and nothing more. The truth of the matter is that surety bonds are unique and they have nothing to do with investing. This is definitely true, when it comes to license and permit bonds. Within this comprehensive guide, you’ll learn more about these bonds and their purposes.

What Are Permit And License Bonds?License bond guide Canada

Before learning more, it is best to get a grasp of the basics. What precisely are permit and license bonds? These are bonds, which govern businesses and professionals. Generally, the bond is a necessity and must be obtained, before the professional will be able to obtain their licensure. Of course, it is essential to remember that there is an abundance of different license bonds and none are identical to one another. For instance, there is a General Contractor’s bond, Plumber’s bond, and an Electrician’s bond.

The Principal’s Commitment

If you’re an electrician, who wants to obtain their license, you’ll most likely need to obtain the associated bond first. Initially, this might seem like a simplistic task, which requires very little thought. The truth of the matter is that obtaining a bond will require you to make a big commitment. Once you’ve acquired the bond, you are making a guarantee to your local province and the federal Canadian government that you’ll abide by the codes and regulations, which govern your profession. Failing to live up to your commitment could result in devastating repercussions.

Public Protection

Consumers are always going to be at risk of fraud, physical harm, and property damage, when they hire a public service provider. The Canadian government has taken the necessary steps to protect the consumer from these risks, by enforcing companies to post a license surety bond, before they can apply for their business license. While, it is nearly impossible for the government to monitor each and every company that operates within the Canadian borders, the surety license bond aids in making this possible.

The license and permit surety bond protects consumers, in the event that a company exhibits unlawful or negligent behavior.

What Happens If A Company Fails To Comply With The Terms Of The License Surety Bond?

While, most companies strive to provide the public with superior service, nothing can be for certain. A minor accident can turn into a major catastrophe for a licensed company or contractor, especially if the client files a claim on the surety bond. When this happens, the company is going to be at a huge risk of having their surety bond and license revoked. It is a fact, that surety companies are forced to investigate thousands of claims every year. More times than not, the surety will find in the favor of the client. The full amount of the bond will be paid out to the claimant and the principal will be forced to repay the surety.

Different Types Of License And Permit Bonds

As mentioned above, there are numerous types of license and permit bonds. Although they work in a similar fashion, they govern different professions or activities. Below, you’ll find a breakdown
of some of the different types.

Types of Contractors

  • Electrician’s Bond – Electricians have an abundance of responsibilities. If they make a mistake, the client’s home could catch on fire and potentially burn to the ground! In order to prevent them from happening and to better protect the consumer, the electrician will need to acquire the bond and license, before they’ll be able to perform their service.
  • Plumber’s Bond – A plumber is another individual, who will need to acquire a bond. Again, a plumbing problem could result in major damages to the client’s home. By forcing these individuals to acquire bonds and encouraging them to follow the province’s regulations, the potential for problems will be greatly decreased.
  • Driveway Bond – Usually, professionals that work on driveways will be required to buy bonds. Those that intend to erect, construct, alter, or repair driveways in the country of Canada will need to get one of these bonds. The bond amount will depend on the province where you operate.

Truly, the list could go on and on. There are numerous types of license and permit bonds. Before offering your services to the public, it is a good idea to do a little research and see whether or not you need to do so.

How To Acquire A Surety Bond Within The Country Of Canada

surety Bonds in Canada

How to get a Surety Bond

There are many Canadians, who will proceed through their entire lives, without ever needing to obtain a surety bond. Others will be required to obtain a bond every year. Initially, the concept of the surety bond can be overwhelming and the thought could very well give you a fright. This is truly a misconception. The truth of the matter is that obtaining surety products has gotten much easier over the years and it is now possible to submit your application online. Within this guide, you’ll learn all about obtaining a surety bond.

Identify Your Needs

One thing that many people fail to realize is that surety bonds are enormous and very diverse. The term surety bond is often thrown around to cover a wide array of different products. When one person determines that they need a surety bond, they need to understand that the specific bond needed will vary from that of the next person. So, before you can move ahead, you need to identify your specific needs. This may require referring to the laws within your specific province, as well as the Canadian federal laws.

construction guys working

Figure Out The Amount

After you’ve identified the specific type of bond needed, you’ll next need to consider the bond amount. The bond amount will vary incredibly and will be determining by a number of different parameters. First, you should consider the bond type. Some bonds are cheaper than others. Secondly, your province will play a major role in figuring out the precise cost. If you’re trying to acquire a court bond, the judge will generally set the amount. Once you’ve figured out this amount, you might be astonished by the quantity. Don’t be! This is where the surety provider will enter the picture.

Obtaining Documents

Depending on the specific type of bond that you need, you may need a handful of documents to get the bond. Although the specifics will depend on the bond type, some of the most commonly needed documents will be listed below.

  • Annual financial statement
  • Liquid asset information
  • Net worth and finances
  • Continuity plan
  • Business plan
  • Work on hand

Again, not all of these documents are always necessary.

Getting Quotes

Now, it is time to get down to work. Once you’ve acquired the information above, you’ll know precisely what is needed. You should begin visiting the websites of Canadian surety providers. The mass majority of these groups will offer an online application or quote form. It is highly pertinent that you take advantage of this offering. By obtaining and comparing quotes from numerous groups, you will eventually be able to pinpoint the best price for your specific situation.

Remember that your personal credit score will play a major role in your final price figure. A handful of other factors, such as business history and finances, may also be impactful.

Agreement And Payment

After you’ve completed the steps above and have found a good price, a surety provider like ConstructionBond will present you a bond agreement. Be sure to carefully read through the paperwork, before signing at the bottom. An attorney may be needed, so you can avoid surprises and unfavorable terms. Once you’ve agreed to the terms, you will want to pay the fees and acquire your Surety Bond from ConstructionBond.