Tank Cleaners Insurance Policy Information
Tank Cleaners Insurance. Tank cleaners provide cleaning services to customers to remove scale, sludge and other residue from tanks. Debris remaining in the tanks to be cleaned may include non-hazardous commodities such as bulk food products, milk, or water, or highly hazardous substances such as chemicals, corrosives, fuels, or toxins.
The type and lining of the tank, whether contents are under pressure or not, and the previous contents and future use of the tank dictate the cleaning method to be used. Cleaning can be done by flushing with water or chemical solutions, sandblasting, or vacuuming. Depending on the size of the tank, work may be done from the exterior or workers may actually enter the tank to remove residues. Cleaning may be done manually or using robotics.
While cleaning operations are usually conducted at the customer's job site, in some cases, such as railroad or truck tanks, the tanks are brought to the cleaner's yard site. Some cleaners offer maintenance, testing and repair services.
As a tank cleaning professional, you may clean any number of tanks; septic, oil, or gas, for example. No matter what type of tanks you clean, the services you offer your clients are exceedingly important. There's also no doubt that you have a lot of responsibilities, like making sure that your clients' needs are met, taking care of your employees, ordering and storing inventory, maintaining machinery, invoicing, and more.
Like business owners in any other industry, you are also exposed to a variety of risks. Some of those risks are similar to those that other companies face; work-related injuries or illnesses that your employees may sustain, lawsuits that third-parties (clients and vendors, for example), and so forth. It's likely that you also handle toxic substances, and as such, you need to ensure that you are disposing of them responsibly.
While you try your best to make sure that every aspect of your tank cleaning business is running smoothly so that you can avoid problems, sometimes, things happen that you cannot control. An employee could damage a tank while cleaning it, which could result in a leak that has to be repaired. Toxic fluids could spill off of your truck, resulting in an expensive cleanup to mitigate potential pollution. These are just some of the examples of things that could happen that are beyond your control. To protect your clients, employees, the environment, and yourself from the unplanned and unthinkable,tank cleaners insurance is an absolute must.
Tank cleaners insurance protects your business from lawsuits with rates as low as $87/mo. Get a fast quote and your certificate of insurance now.
Why Do Tank Cleaners Need Insurance?
If any of the above-mentioned scenarios occur, you will be held legally responsible. The costs of damages, repairs, medical bills, and any potential litigation that may arise can be exorbitant. Unless you are properly insured, you'll be responsible for paying these expenses yourself. Unless you have a significant amount of money in the bank - and even if you do - the costs of these expenses could put you in financial ruin.
To avoid the risk of losing everything - your business, your home, your reputation, and more - investing in the proper tank cleaners insurance coverage is crucial. With the right coverage, instead of paying these extensive fees out of your own pocket, your insurance carrier will cover them for you. While you do have to pay premiums and deductibles, should the unthinkable happen, the investment will be well worth your while.
What Type Of Commercial Coverage Do Tank Cleaners Need Have?
There are multiple forms of tank cleaners insurance you might need to invest in. Of course, the specific types of coverage will depend on a variety of factors, including the size and location of your business, and the specific type of tank cleaning you perform; however, there are certain policies that all tank cleaners should carry, including:
- Commercial General Liability - If you or a member of your staff damage a client's property, or if a vendor sustains an injury while visiting your place of business, commercial general liability will cover the cost of any necessary repairs, medical care, and litigation that may arise.
- Commercial Property - If your commercial building is damaged in a fire, vandalized, broken into, or any other damage occurs, commercial property insurance will help to pay for the repairs that are needed.
- Pollution Liability - If you work with harmful substances, you'll also need to invest in pollution liability insurance. This type of coverage protects you from any losses that are associated with a spill, improper disposal of substances, and other incidents that could impact the environment. It will help to cover the cost of necessary cleanup, damages, and other costs that are associated with a pollution event.
- Workers' compensation. - You'll also need to invest in workers' comp insurance. This type of coverage pays for any injuries or illnesses that members of your staff may sustain while on-the-job. In addition to pay for related medical care, it can also cover their lost wages, as well as any legal fees that may arise if they should file a lawsuit.
These are just a few of the tank cleaners insurance coverage options to consider.
Tank Cleaning Risks & Exposures
Premises liability exposure at the contractor's office is generally limited due to lack of public access. Equipment stored in an open yard may present an attractive nuisance. The storage of flammable chemicals presents a property damage exposure to neighboring buildings.
At the job site, opening and cleaning tanks presents the possibility of injury to the customer. The area of operation should be restricted by barriers and proper signage to protect against trips, slips and falls over equipment. Chemicals and blasting operations can result in damage to neighboring buildings. Exterior sandblasting or tank flushing can be a hazard to passersby, parked vehicles and nearby structures.
If the tank is underground, the contractor may cut a utility cable, damaging property of the utility company and disrupting service to neighboring residences or businesses. Absence of detailed procedures to verify the location of the tank and determine utility locations prior to digging may indicate a morale hazard.
Completed operations liability exposures include contamination of the customer's property due to improper cleaning or repair of or damage to the tank. Chemicals and gasses may inadvertently leak into surrounding areas causing serious injury or death.
Environmental impairment liability exposure is very high due to the potential for spilling the contents of the tank onto the customer's property or while in transit. Allowing waste to accumulate either at the job site or in the contractor's yard could cause a severe environmental impairment situation. The insured must comply with all federal, state and municipal requirements. The insured must use safe methods to collect, transport, and dispose of the waste. Proper written procedures and documentation of both the transportation and disposal process is important.
Workers compensation exposures are severe. Back injuries, hernias, sprains and strains can be caused by lifting and pulling the hoses and equipment used in cleaning the tanks. If any type of chemical, toxic, hazardous, or reactive material was stored in the tank, the contractor can be injured or killed from asphyxiation, explosion or reaction of incompatible chemicals.
Protective equipment, appropriate cleaning methods and confined space entry procedures and controls are required. There are similar hazards if the contractor replaces linings in tanks, or repaints or reseals interiors. Other common hazards may include work at heights, cuts, abrasions and eye injuries from the force of the overspray.
Chemicals and dust generated during the cleaning may cause lung injury or disease. Cumulative exposure to the high-decibel operations may result in permanent hearing impairment.
Property exposures at the contractor's own location are usually limited to those of an office operation and storage of materials, equipment, and vehicles. Chemicals may be used in the cleaning process or to repair or reseal tank linings. If these are flammable or reactive, they must be properly labeled, separated, and stored in approved containers, cabinets, and rooms. If sandblasting is done on premises, sparks or high temperatures created by the process can result in fire or explosion. Adequate dust control and cooling are needed. Property stored outside may be a target for vandalism.
Crime exposures are from employee dishonesty. Background checks, including criminal history, should be obtained on each employee prior to hiring. Ordering, billing, and disbursement should be handled as separate duties with reconciliations occurring regularly. There should be appropriate procedures in place when employees accept payments off site.
Inland marine exposures include accounts receivable if the contractor offers credit to customers, contractors' equipment and hand tools, and valuable papers and records for customers' and suppliers' information. Hand tools are used to open the tank and make repairs. Vacuum units, hoses and other equipment are used to empty the tank. Equipment may be subject to loss from theft, chemical damage, collision and overturn.
Commercial auto exposures are high due to the transportation of chemicals and the contents of cleaned tanks on tanker trucks. All drivers must be well trained and have valid licenses for the type of vehicle being driven. MVRs must be run on a regular basis. Random drug and alcohol testing should be conducted. Vehicles may be custom designed with specialty equipment, such as lifts and cherry pickers.
Large scaffolding may necessitate oversized loads, with potential of serious hazards from collision or upset. Vehicles must be well maintained with records kept in a central location. Drivers should be aware of and be able to perform cleanup procedures in the event of a collision or vehicle overturn. Many tank cleaning contractors operate in rural areas with narrow, winding roads that are difficult to navigate. Drivers should be trained and experienced in driving under adverse conditions.
Commercial Insurance And Business Industry Classification
- SIC CODE: 7699 Repair Shops and Related Services, NEC
- NAICS CODE: 562991 Septic Tank and Related Services, 562998 All Other Miscellaneous Waste Management Services
- Suggested ISO General Liability Code(s): 99570, 99571, 99572, 99573, 98805, 91250
- Suggested Workers Compensation Code(s): 9402
Tank Cleaners Insurance - The Bottom Line
You can purchase individual policies, or you can speak to a reputable insurance broker to find out if there is a comprehensive package that offers coverage for all of your needs.
Small Business Economic Data & Insurance Regulations
Perhaps you have the next great idea for a product or service that you know will appeal to your local area. Maybe you want to contribute to the economic growth of your community. Whatever the reason is, if you're thinking about starting a small business, it's important to understand pertinent information relating to small businesses in the United States; namely economic information and insurance regulations. After all, if you want your small business to succeed, you have to understand the economic trends organizations of a similar size in your area.
Likewise, you want to ensure that your small business is well protected with the right business insurance and that you are in compliance with the rules and regulations that pertain to commercial insurance in your region.
Read up on economic statistics and insurance information that relates to small business owners in the United States.
Small Business Economic Data In The United States
Here's a look at some information that was compiled by the Small Business Association (SBA) regarding the economic data that pertains to small businesses in the United States:
- In 2015, small businesses in the United States employed an estimated 58.9 million American workers, or 47.5 percent of the nation's private workforce.
- Largest shares = fewer than 100 employees. The small businesses that employed 100 people or less had the largest share of employment amount small businesses.
- Employment increased by nearly 2 percent. In 2018, employment amongst small businesses increased by 1.8 percent, which is an increase of 1 percent from the prior year.
- Increase in proprietors. In 2016, the number of small business proprietors increased by 2.3 percent.
- In 2015, small businesses were responsible for creating 1.9 million net jobs. Organizations that employed 20 people or less had the largest gains, as they added an estimated 1.1 million net jobs.
- There were 5.7 million loans that were value less than $100,000 issued by lenders in the United States in 2016. These loans were issued under the Community Reinvestment Act.
- Small business owners that were self-employed at the incorporated businesses that they owned reported a median income of $50,347 in 2016.
- Small business owners that were self-employed at the unincorporated businesses that they owned reported a median income of $23,060 in 2016.
Small Business Insurance Information
In the business world, there are many risks faced by company's every day. The best way that business owners can protect themselves from these perils is by carrying the right insurance coverage.
The The National Association of Insurance Commissioners (NAIC) is the U.S. standard-setting and regulatory support organization. Through the NAIC, state insurance regulators establish standards and best practices, conduct peer review, and coordinate their regulatory oversight.
Commercial insurance is particularly important for small business owners, as they stand to lose a lot more. Should a situation arise - a lawsuit, property damage, theft, etc. - small business owners could end up facing serious financial turmoil.
According to the SBA, having the right insurance plan in place can help you avoid major pitfalls. Your business insurance should offer coverage for all of your assets. It should also include liability and casual coverage. The SBA recommends the following insurance plans for small business owners:
- Commercial Property Insurance: In the case of an unplanned disaster - fire, flood, vandalism, theft, etc. - this type of coverage will help you avoid paying for the damage out of your own pocket. Even if you rent the property, you should still carry commercial property insurance.
- Commercial Liability Insurance: In the event that a legal situation arises - a negligence lawsuit, for example - commercial liability coverage will provide financial protection. It will cover the cost of legal defense fees, court fees, and even moneys that may be awarded.
- Commercial Auto Insurance: If you operate a vehicle for any activities that are related to your business - transporting and/or delivering goods, or meeting with clients - commercial auto insurance is legally required for businesses of all sizes, including small businesses.
Additional Resources For Contractors & Home Improvement Insurance
Learn about small business contractor's insurance, including what it covers, how much it costs - and how commercial insurance can help protect your contracting business from lawsuits.
- Air Conditioning Systems Installation Repair
- Blacksmith & Metal Workers
- Builders Risk
- Building Cleaning & Maintenance Services
- Cable And Satellite TV Installer
- Chimney Sweep
- Contractor Liability
- Curtain Cleaners
- Door And Window Installers
- Dryer Vent Cleaning
- Drywall Contractor
- Electrical Contractors
- Environmental Remediation Contractors
- Fence Installation
- Fire Sprinkler Contractors
- Fire & Water Restoration Contractors
- Flooring Contractor
- Garage Door Installer And Repair
- Glass Contractor
- Glazier Insurance
- House Cleaning
- HVAC Contractor
- Insulation Contractor
- Janitorial Cleaning Services
- Lawn Care
- Paperhanging Contractors
- Plastering And Stucco Contractor
- Pressure Washing Contractors
- Propane And Fuel Dealers
- Rug, Upholstery & Carpet Cleaning
- Sandblasting Contractors
- Security Alarm
- Septic Tank Cleaning
- Siding Contractor
- Sign Installation & Repair
- Solar Panel Installers
- Snow Plow
- Stone And Tile Installer
- Swimming Pool Contractor
- Tree Surgeon
- Tree Trimming
- Tank Cleaners
- Upholstery Shop
- Waste Haulers & Garbage Collection
- Water Well Drilling
- Welding Contractor
- Wildlife & Pest Control
- Window Cleaning
A contractor that wants to begin or stay in business, liability coverage must be obtained for the premises or operations, off-site locations and products/completed operations exposures. These coverages may be included as a part of a businessowners policy (BOP) or purchased in a commercial general liability (CGL) policy. Owners and contractors protective liability and railroad protective liability coverages may also be required in certain cases in order for a contractor to obtain a particular job.
Physical damage coverage for tools, supplies and equipment, both on and off the contractor's premises, is a concern. Liability exposures at the premises of the contractor, and at the premises of the contractor's customer, must be properly addressed along with completed operations. Business insurance is very important as is workers compensation insurance protection for employees.
Contractors may work under a general contractor as a subcontractor in larger construction projects - like a new commercial site or residential subdivision. They can work on smaller projects directly with a home owner, usually specializing in renovations or remodels.
In business insurance speak, often called 'artisan contractors' or 'casual contractors', they are involved in many aspects of construction and contracting work – and include various trades and skills. Carpenters, painters, plumbers, electricians, roofers, tree trimmers, landscaping are just a few examples. They may do roofing, fencing, drywall, tile work and many other trades that involve skilled work with tools at the customer's premises.
An artisan contractor performs a single trade or job, and each has its own specialized liability needs with its own exposures to risk and accidents. Contractors liability insurance can offer coverage for bodily injury, property damage, advertising injury and medical payments.
Most artisan contractors should have commercial general liability at the very least, but many need broader coverages - like an umbrella to increase their limits of liability, inland marine policy to protect their tools, workers compensation if they have employees, and even commercial auto if they use vehicles for business purposes.
Minimum recommended small business insurance coverage: Business Personal Property, Employee Dishonesty, Contractors' Equipment and Tools, General Liability, Employee Benefits Liability, Umbrella Liability, Automobile Liability and Physical Damage, Hired and Non-owned Auto & Workers Compensation.
Other commercial insurance policies to consider: Building, Business Income with Extra Expense, Earthquake, Flood, Leasehold Interest, Real Property Legal Liability, Accounts Receivable, Builders Risk, Computers, Goods in Transit, Installation Floater, Valuable Papers and Records, Cyber Liability, Employment-related Practicesand Stop Gap Liability.