Frequently Asked Questions About
Commercial General Liability Insurance
How much does commercial insurance cost?
Costs can vary widely based on industry and are also determined by zip code and often payroll and/or gross sales. Request a free quote to get an exact number.
What kind of business insurance do I need?
Most business owners need General Liability Insurance at the very least. If you have any non-owner employees, you will need workers compensation insurance too.
What is a Certificate of Insurance?
A Certificate of Insurance is proof of coverage. It lists the type and amount of liability coverage you have and other policy information when a third party requests it.
Is business insurance tax deductible?
Yes. you can deduct the cost of commercial insurance premiums. The IRS considers insurance a cost of doing business as long it benefits the business & serves a business purpose.
Colorado Dry Cleaning Insurance
Colorado Dry Cleaning Insurance. If you own and operate a dry cleaner, then you should consider insurance to protect your business. Being the owner of a dry cleaning business means that you are exposed to lots of risks. One single lawsuit can cause you to lose everything you've worked so hard to build.
Dry cleaners use chemical applications instead of water to remove dirt, dust, and other debris from customers' clothing and other fabric items. These may include special fabrics that may be damaged by water, including leather goods and furs. Services may be provided to the general public or may be limited to commercial or institutional customers.
Depending on the type of customer and services offered, the operations may include pickup of soiled material (either from customers' premises or from owned drop-off stations), sorting, spot-cleaning (pretreatment for stains), laundering or dry-cleaning, pressing, and, delivery or return of the items to the customer. Special coatings, such as stain-proofing or waterproofing, may be applied during the cleaning process. Incidental repair work, such as sewing on buttons, may also be performed.
To protect yourself from the risks that come with operating this type of business, Colorado dry cleaning insurance is a good choice. Let's take a look at some of the different laundry service insurance policies that you can use to protect your business.
Colorado dry cleaning insurance protects your laundry service from lawsuits with rates as low as $37/mo. Get a fast quote and your certificate of insurance now.
The Risks Of Operating A Dry Cleaners
Although it's important to get the best dryers and washers for your business you should also be concerned about the protection of your business. Every single day your business is faced with numerous risks. Some of these risks can cause financial damage to your business - Colorado dry cleaning insurance helps.
Running a dry cleaners and laundromat means you'll have lots of people on your premises at any given time. With more people using your services the risk of injury is a lot higher. Here are some of the risks you face while running this type of business:
- Slips and falls on wet floors
- Children playing and destroying equipment
- Theft, vandalism and other crimes
- Equipment breakdown
- Floods and other weather events that damage your business
Commercial Insurance Policies For Laundromats & Dry Cleaners
With the amount of people using your services, there's a chance of injury while on your premises. Slips and falls are the most common risks you face. Having the right Colorado dry cleaning insurance gives you the protection you need when it happens. Following are some of the most common dry cleaning insurance coverages:
Commercial General Liability Insurance: If you need protection from customer injury or property damage then this is the insurance you must have for your business. When a customer slips and falls while using your services this is the best type of Colorado dry cleaning insurance to have. When you have this type of insurance you can assist with any medical costs associated with the injury.
Business Property Insurance: With this type of insurance you protect the buildings and the machines you use for the operation of your business. Equipment such as coin-operated washers, dryers, commercial laundry machines, dry cleaning machines and other equipment owned by your business will be covered by this insurance. Whether you are renting or you own a CO building to operate your business you must protect it with Colorado dry cleaning insurance.
Business Interruption Insurance: With business interruption insurance you protect your store when unexpected events happen that stops business operations. Any damage done to your business can cause you to lose income. This Colorado dry cleaning insurance allows for the reimbursement of any income losses and any other business expenses because of damage to your business. It's a good idea also to expand you business interruption coverage to cover utility interruptions as well.
Equipment Breakdown Insurance: This type of insurance provides coverage for when equipment breaks down in your business. When machinery breaks down you can lose income but when you have this insurance you can be reimbursed for the income you loss. You can never predict when something like this might happen which is why you need to be prepared by having this insurance.
Workers' Compensation: Workers comp is required in most states for any non-owner employees. This insurance allows you to provide assistance to an employee if they are injured and need medical attention. If an employee gets injured and the injury leads to death then this is insurance pays benefits to the surviving family of the victim.
CO Dry Cleaner's Risks & Exposures
Property exposures generally include a small office, drop off and pick up storefront, dry cleaning facilities, and perhaps a warehouse for storage. Ignition sources include electrical wiring, dry cleaning equipment, heating and air conditioning systems, and water heaters.
Flammables include the textiles or other fabrics to be cleaned, scrap materials, lint from dryers, and chemicals used in dry cleaning. At one time, the chemicals used were highly flammable, but most dry cleaners now use alternative chemical applications with less exposure to fire or explosion. One chemical is generally used to pretreat stains and another to clean. The spot cleaners tend to be the most flammable. Hazards increase without proper storage and handling methods.
Fire and explosion hazard may be severe unless there are dust collection systems and procedures for regular removal and disposal of scraps. Poor housekeeping is a serious fire hazard. Sprinklers may be advisable. Unless disposed of properly, greasy, oily rags (such as those used to clean the machinery) can cause a fire without a separate ignition source. Fuels, oils, and lubricants will increase the fire hazard if vehicles are stored and maintained on the premises.
Equipment breakdown exposures include breakdown losses to the dust collection and ventilation systems, laundering and dry cleaning equipment, electrical control panels, and other apparatus. Breakdown and loss of use of the water heaters, dry cleaning, and pressing machinery could result in a significant loss, both direct and under time element.
Crime exposure includes both employee dishonesty and theft of money and securities, particularly if there are numerous cash transactions, such as at drop-off points or collections by route drivers. Lack of control over pre-employment background screening, separation of duties, and reviews of procedures used at customers' premises increases the exposure.
All retail operations should have a monitoring and verification system to reconcile bills and receipts with services rendered. Holdup potential is high, especially in retail operations. Frequent deposits should be made, especially on high volume days.
Inland marine exposure includes accounts receivable if the dry cleaner offers credit, bailees customers, computers, and valuable papers and records for customers' and suppliers' information. The bailees customers' exposure starts when the property is entrusted to a dry cleaner's employee and ends when the property is returned to the customer. The primary causes of loss are fire, theft, collision, overturn, and water damage. Hazards increase in the absence of adequate procedures, such as tagging or marking, to identify each customer's goods.
Premises liability exposure is very limited at the plant due to lack of public access. Any receiving areas should be in good condition and free from any tripping hazards. High concentrations of chemicals used in the cleaning process may be corrosive and/or toxic. Fumes, spills, or leaks may result in bodily injury or property damage to neighboring premises.
Off-site exposures are high as drivers interact with customers in the pickup and delivery operations. Personal injury exposures include assault and invasion of privacy. Failure of the cleaning service to run background checks and review references on employees both increases the hazard and reduces available defenses.
Completed operations liability exposure is low to moderate from items being damaged during the cleaning process, with the frequency being a greater concern than severity. Vapors, odors, and skin, eye, or lung irritants may result if chemicals are not properly removed from the item cleaned.
Environmental impairment liability exposure is high due to the potential for air, surface or groundwater, or soil contamination from the use and application of chemicals and detergents. The soil around the premises may be contaminated by disposal of chemicals used in the past. Disposal of perchloroethylene must adhere to EPA standards. The chemical is expensive but can be reclaimed and reused.
Workers compensation exposures can be high. Work may be performed under time constraints. Workers can experience lung, skin, or eye irritations and reactions to the dry cleaning chemicals, which may pose a long-term threat from cumulative exposure. Employees must be fully informed as to the potential effects of any chemicals, including long-term occupational disease hazards so that they can take action as quickly as possible.
Cuts and puncture wounds can result from sewing. Slips and falls can occur during cleaning at the dry cleaning facility, or at customers' premises. Back injuries while lifting or handling materials can occur, especially for employees engaged in pickup or delivery. Repetitive motion injuries can be reduced if workstations are ergonomically designed. Pets owned by customers may attack or bite workers.
Business auto exposure may be high if pickup and delivery services are provided. Deadlines placed on drivers increase the hazard. All drivers must have a valid driver's license and acceptable MVR. Vehicles must be regularly maintained and records kept at a central location. If vehicles are taken home, there should be written procedures regarding personal use by employees and their family members.
CO Dry Cleaning Insurance
When you are in the CO laundromat and dry cleaning business you face many risks. Having the right insurance for your business protects you when your business faces a lawsuit. Insurance can be the difference between losing everything in a lawsuit and keeping your business profitable.
Colorado Economic Data & Business Insurance Information
If you're thinking about doing business in Colorado, it's important to familiarize yourself with the economic status of the state, as well as the regulations and limits regarding insurance for businesses. Below, we offer insight into pertinent economic data related to the state of Colorado, as well as key business insurance information so that you can put your best foot forward and make the best decisions for your business in the Centennial State.
Business Economic Trends In The State Of Colorado
According to recent reports from the leading economic researchers, the state of Colorado has a healthy outlook, economically speaking. While fewer jobs will be added in 2018 than have been in recent years, the growth rate is still expected to climb.
It's anticipated that entrepreneurs who are really interested in taking risks in new ventures will be the leading contributors for the state's economic growth. However, less risky industries will lend to the economy, as well, such as cloud computing and cybersecurity.
In regard to the fuel industry, it is anticipate that there will be an increase in valuation of about 9 percent in the year 2018, and this growth pertains mainly to gas and oil. This increase will largely be due to the improvement in energy prices, which are lower this year than they have been in recent years. It's hopeful that energy prices will continue to fall so that these industries can continue to thrive.
In terms of agriculture, it's projected that farms in the state of Colorado will do a little better this year than they did in 2017. Leading economic research agencies are expecting that the income from agriculture will reach nearly $1.4 billion in 2018.
In regard to the retail market, it is also expected that this industry will see steady growth, despite the rising trend of e-commerce solutions. In fact, it's estimated that the rate of employment in the retail sector will increase by as much as 2.1 percent during the 2018 fiscal year.
Regulations And Limits For CO Commercial Insurance
The Colorado Division of Insurance regulates insurance in Colorado. CO is considered a "fault state", meaning that business owners are not legally required to carry liability insurance; however, liability coverage is the type of commercial insurance that is most commonly purchased in the state. Commercial liability insurance covers business owners and their clients for things like bodily and personal injury, commercial property damage, and injuries that pertain to advertising injuries.
The only commercial insurance that business owners are required to carry is workers' compensation insurance. Any business that employees an hourly or wage staff must carry this type of coverage to protect their employees.
Additional Resources For Retail Insurance
Read valuable small business retail insurance policy information. In a retail business, you need to have the right type of commercial insurance coverage so that your store, employees, and inventory are protected.
- Appliance & Electronics Store
- Art Gallery
- Auto Service Repair
- Auto Supply Parts Store
- Bicycle Shop
- Book Store
- Bridal Shop
- Candy Confectionery Store
- Car Wash
- Carpet Store
- Clothing Store
- Collectibles Memorabilia Store
- Convenience Store
- Cosmetics Store
- Dry Cleaning
- Equipment Rental
- Funeral Home
- Furniture Store
- Gift Store
- Hardware Store
- Home Improvement Store
- Hotel Motel
- Ice Cream Shop
- Jewelry Store
- Luggage Store
- Music Store
- Nursery And Greenhouse
- Office Supply Store
- Paint & Wallpaper Store
- Pet Store
- Pharmacy Liability
- Plumbing Supplies Fixtures Store
- Scrap Metal Dealers
- Sewing Store
- Shoe Store
- Sporting Goods Store
- Stationary Store
- Thrift Store
- Ticket Agency
- Tobacco Store
- Toy Store
- Travel Agency
- Wig Store
The businessowners policy was designed with retail exposures and operations in mind. For this reason alone, it should always be the first type of package coverage to consider. However, for those risks not eligible for the business owners policy program, the commercial package policy (CPP) is a practical and convenient way to combine a number of coverages into one policy.
Retail businesses generate income through interaction with customers. This interaction is also how a customer can sustain an injury and then sue the retailer for damages. Hazards, exposures and operations both on premises and off are important and must be covered, but liability the retailer may incur because of the merchandise sold must also be considered and insurance protection arranged.
Inventory or stock is the major property exposure for most retail operations. Because stock values tend to fluctuate or have significant peaks at certain times of the year, value reporting or peak season valuation options should be considered. Business income coverage, including business income from dependent properties coverage, may mean the difference between a retail operation staying in business or being forced into bankruptcy following a loss.
When the insured occupies a non-owned building, insurance coverage must be arranged for the insured’s interest in extensive improvements and betterments made to the premises.
Most retail businesses offer endless opportunities for a variety of criminal activities. For this reason, the coverages needed must be carefully evaluated. Holdup and robbery losses may be the most obvious concerns but employee theft, fraud and counterfeit money losses are also serious issues that cannot be dismissed.
Retail businesses are gaining greater exposure to international issues because of the growth in sales via the internet. As these sales increase, the added exposures faced by these retailers must be evaluated. While their operating horizons are expanding so are their potential loss exposures.
Request a freeRequest a free Colorado Dry Cleaning insurance quote in Akron, Alamosa, Arvada, Aspen, Ault, Aurora, Avon, Basalt, Bayfield, Bennett, Berthoud, Boulder, Breckenridge, Brighton, Broomfield, Brush, Buena Vista, Burlington, Carbondale, Castle Pines North, Castle Rock, Cañon City, Cedaredge, Centennial, Center, Cherry Hills Village, Colorado Springs, Columbine Valley, Commerce City, Cortez, Craig, Crested Butte, Cripple Creek, Dacono, Del Norte, Delta, Denver, Durango, Eagle, Eaton, Edgewater, Elizabeth, Englewood, Erie, Estes Park, Evans, Federal Heights, Firestone, Florence, Fort Collins, Fort Lupton, Fort Morgan, Fountain, Fowler, Fraser, Frederick, Frisco, Fruita, Georgetown, Gilcrest, Glendale, Glenwood Springs, Golden, Granby, Grand Junction, Greeley, Greenwood Village, Gunnison, Gypsum, Hayden, Holyoke, Hudson, Idaho Springs, Johnstown, Julesburg, Keenesburg, Kersey, Kremmling, La Junta, La Salle, Lafayette, Lakewood, Lamar, Las Animas, Leadville, Limon, Littleton, Lochbuie, Lone Tree, Longmont, Louisville, Loveland, Lyons, Mancos, Manitou Springs, Mead, Meeker, Milliken, Minturn, Monte Vista, Montrose, Monument, Mountain Village, Nederland, New Castle, Northglenn, Olathe, Orchard City, Ordway, Ouray, Pagosa Springs, Palisade, Palmer Lake, Paonia, Parachute, Parker, Platteville, Pueblo, Rangely, Rifle, Rocky Ford, Salida, Severance, Sheridan, Silt, Silverthorne, Snowmass Village, Springfield, Steamboat Springs, Sterling, Superior, Telluride, Thornton, Trinidad, Vail, Walsenburg, Wellington, Westminster, Wheat Ridge, Windsor, Woodland Park, Wray, Yuma and all other cities in CO - The Centennial State.
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