Your Foreclosure Cleanup Business Questions Answered: When to Get Workman’s Comp Insurance
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Recently, we started answering questions received from foreclosure business owners here on ForeclosureBusinessNews.com. So, if you have about starting, operating or marketing a foreclosure clean up business, send it in. All identifying details will be removed, so that you remain anonymous (if you wish).
Here’s one we got from a business owner about foreclosure cleaning business insurance. Following is his entire email, and our response.
Question from a Reader
Pleasant Morning to You,
My name is Andre, I recently purchased one [of] your eBooks (Foreclosure Marketing) and I must say; it HELPED me tremendously. I started [my business] a few months ago and I must admit; your book gives me hope. I could tell you have lots of experience in the business and you take a hands-on approach to your craft.
Not too many times, you find people who aren’t willing to share the formula of success with others. Thank you for sharing.
At this moment I am faced with a quagmire; we are currently covered with general liability insurance but not Worker Compensation insurance. The business is still in its early stages and we are not currently generating enough income to purchase Worker’s Comp. My brother and I are the main workers and occasionally we might hire someone for the day, when we have extra work. Due to the fact that we only have a 3 man team and financial resources are tight:
- · Do you think it would be alright for me to advertise that we are fully insured at this point?
- · How do you suggest I handle potential clients, who ask if I am fully insured or if I have workers comp?
- · At what point do to you suggest I get Worker’s Comp insurance?
Thank you for your help,
Andre
Post Continued Below . . .
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Our Answer
Hi Andre:
I’m glad the books are helping you in your business! ![]()
RE your query . . .
Sure, you can indicate you are licensed and insured in your literature; because you’ve stated you have general liability; but the larger clients, esp. prop preservation companies, may ask for proof of WC.
You can put on your applications the type of insurance you have in these instances and state you will get WC before performing jobs. If a client asks if you have WC and you don’t yet have it, tell them you don’t have it, but can get it quickly to secure the job, no problem. Call around and get your quotes NOW and ask the insurance companies you’ll be soliciting for coverage how quickly the policy can be written when you do need the coverage to perhaps seal a deal.
Rule of Thumb: Get the WC when the biz can afford to pay for it. Your numbers will guide you.
Continued success to you and your brother with your foreclosure cleanup business!
Cassandra Black, CEO/Consultant
Foreclosure Cleanup, LLC
P.S.: Get more answers to your questions about starting/operating a foreclosure cleanup business.
Related Posts
Foreclosure Cleanup Business: Why You Need Insurance & In-depth Advice on What Type to Get
Want to Start a Foreclosure Cleaning Business? Advice on Type of Insurance You Need
Why Foreclosure Cleaning Companies Will Be Profitable for Years to Come
Foreclosure Clean Up: Why It’s Still a Leading Small Business Opportunity for 2011
Foreclosure Cleaning Business: How to Start One While Working Fulltime
How to Bid on Foreclosure Cleaning Jobs: Inside Peek at an Actual Foreclosure Cleanup Bid
Foreclosure Cleaning: How to Get Non-Foreclosure Cleaning Jobs
How to Get More Foreclosure Cleaning Jobs with Postcards
Cleaning Foreclosure Properties: Learn How to Price Jobs by “Spying” on the Competition
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