What Insurance Do You Need for Your Cleaning Business?

Whether you’re thinking of starting a small cleaning business or looking to grow, it’s easy to get caught up in the things you need to do before you can get started. What exactly do you have in mind for your business? How will it be structured? Have you submitted your small business loan paperwork? With so many things to consider, insurance is probably the furthest thing to concern from your mind.


Cleaning companies face risks such as employees damaging customer property, stealing from customers or being injured due to irritating chemicals. That said, insurance for cleaning business is needed to protect their finances in such cases, including general liability insurance, employee liability insurance, and fidelity bonds.


Why do you need a cleaning business insurance policy?

You may have started, or plan to start, a cleaning business as a sole trader – the simplest business structure for first-time entrepreneurs. This means that all your business losses go into your personal checking account.


For example, suppose that someone sues your company for a fall and the court orders you to pay thousands of dollars in damages and legal fees. Without insurance for cleaning business, you would have to pay this out of your own pocket.


Insurance does not just provide financial protection. It also reinforces the stability of your business. Besides insurance, a concierge bond is also a way of showing that you can be trusted as a company to look after your valuable assets.


What is covered in cleaning business insurance?

Insurance for cleaning business protects your business and assets from unexpected events such as natural disasters and property damage claims. Most businesses require multiple policies, which can be purchased separately or all at once. Cleaning companies may face certain risks, such as employees getting hurt or sick on the job, employees accidentally damaging or destroying client’s property, even company vehicles getting involved in a traffic accident.


Here are some common types of insurance for cleaning business need to cover from these risks:

  • General liability insurance: All businesses should have this insurance. It covers payment to customers, vendors and other third parties who suffer property damage or physical harm caused by the business.
  • Workers’ compensation insurance: Covers medical bills for employees who get injured while on the job.
  • Commercial property insurance: Provides coverage for the repair or replacement of business premises, equipment, and other property damaged by fire, smoke damage, certain natural disasters, or burglary. 
  • Business Interruption Insurance: Covers employee wages, lost revenue, and other bills if the business cannot operate due to fire or other insurable events.
  • Fidelity bonds: Repays clients who suffer property loss due to theft or company’s employee negligence.
  • Janitorial bond: Shows potential clients that there is an insurance company that is a guarantor of your work. This is an effective way to build trust with new clients.


Janitorial bonds for cleaning company

For a cleaning company, janitorial bond is a type of insurance that helps you secure your business. Janitorial bond is a type of surety bond that reimburses clients for losses due to employee theft. Unlike insurance, bond carriers (surety) expect to be reimbursed when paying claims. Clients can request this coverage from cleaning companies.


These cleaning services bond provides coverage related to employee theft of money or property and contracts with clients. A janitorial bond is a business service  bond that protects customers from theft by dishonest employees. It covers losses incurred when an employee steals goods or money from customers while cleaning their home or business. It also directly reimburses a client for the loss.


Janitorial bond is also an insurance for cleaning business that assures the clients that if their property goes missing, the bond will compensate for the loss. This secures the credit and gives an advantage over companies that are not bonded.


Partnering with an insurance company that understands your cleaning business is important. They are specialists and willing to help you and can work to get the coverage you need. Whether you need to ask questions about coverage or need help with claims, don’t worry, they got your back.