Tool Grinding And Repair Insurance Policy Information
Tool Grinding And Repair Insurance. As a tool grinder and repair contractor, you provide a valuable service to your clients; they're relying on you to maintain and repair their tools.
If you own and operate a business that employs a staff, you're also responsible for your employee's well-being, and whether you are self-employed or you run a company, you are also responsible for anything that happens to your business or incidents that may occur on your property.
Tool grinders sharpen and repair tools, blades, and implements. Grinding uses a rotating abrasive wheel to hone or straighten the exterior surface of a blade, which is then finished by polishing or buffing with a finer-grade file or leather strop.
The service can be located in individual shops, in a home basement or garage, in the appliance or department store where the tool was originally purchased, or at the manufacturer's premises. A store or manufacturer may contract with an outside operation to provide service to its customers.
The operation may make repairs at customers' premises or offer pick-up and delivery services.
While you try your very best to ensure that you provide the best results possible and ensure the safety of your facility and the people you employ (if you employ anyone), there's always a chance that something could go wrong. In the event that a mishap occurs, you could be looking at pretty hefty expenses.
How do you protect yourself from the unforeseen and the financial turmoil that may come along with it? By investing in the right type of tool grinding and repair insurance coverage, of course.
What type of insurance do tool grinders and repair technicians require? Why is being covered so important? Read on to find the answers to these questions so that you can ensure your business, the people you serve, you, and your business are properly protected.
Tool grinding and repair insurance protects your business from lawsuits with rates as low as $37/mo. Get a fast quote and your certificate of insurance now.
Below are some answers to commonly asked landscaper insurance questions:
- What Is Tool Grinding And Repair Insurance?
- How Much Does Tool Grinding And Repair Insurance Cost?
- Why Do Tool Grinders Need Insurance?
- What Type Of Insurance Do Tool Grinding And Repair Services Need?
- What Does Tool Grinding And Repair Services Insurance Cover & Pay For?
What Is Tool Grinding And Repair Insurance?
Tool grinding and repair insurance is a specialized insurance coverage that protects businesses that offer tool grinding and repair services.
This type of insurance protects the business from financial losses that may result from damage to tools being repaired or serviced, as well as liability claims that may arise from errors in repairing or servicing tools. It can also provide coverage for loss of income or increased costs of operation due to tool damage or breakdowns.
This type of insurance can be crucial for businesses in the manufacturing and construction industries that rely on specialized tools to operate effectively.
How Much Does Landscaping Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small tool grinding businesses ranges from $37 to $59 per month based on location, size, payroll, sales and experience.
Why Do Tool Grinders Need Insurance?
As the saying goes, you should expect the best and prepare for the worst. Tool grinding and repair insurance coverage is your way of preparing for the worst. As a tool grinder and repair technician, you face certain risks that all business owners face; however, there are also risks that are unique to your specific industry.
For example, a vendor could be injured on your property, an employee could be involved in a work-related accident, or your commercial property could be damaged in a fire. There's also a chance that the equipment you use could malfunction and need to be repaired or replaced, or you could end up damaging the tools that a client entrusted you with.
These are just a few examples of the mishaps that could occur, and if you aren't properly insured, they could end up costing you a fortune.
If you aren't insured and something does go wrong, you'll have to pay the related expenses out of your own pocket. For example, if a client claims that you intentionally damaged their property and files a lawsuit against you, you'll not only have to pay for the legal defense fees, but you'll also have to pay for any compensation that a court may find you liable for.
With the right type of tool grinding and repair insurance coverage in place, instead of paying for these type of expenses out of your own pocket, your carrier would cover them for you.
In short, insurance coverage protects you from serious financial losses.
What Type Of Insurance Do Tool Grinding And Repair Services Need?
The specific type of coverage you'll need depends on where your business is located, the size of your operation, and the type of tools you repair; among other factors. However, regardless of the specifics of your business, there are some forms of coverage that all tool grinders and repair technicians should carry, including:
- Commercial General Liability: This coverage protects you from third-party injury and property damage claims. For instance, if a client were to trip on a wire on your commercial property, suffer an injury, and file a lawsuit against you, this policy would cover your legal fees and any compensation that you may be responsible for.
- Commercial Property: With this policy, your commercial building and the contents within it - tools, office equipment, etc. - as well as some exterior elements, such as sidewalks and signage - will be covered from acts of nature, vandalism, and theft. For example, if a fire broke out in your building and damaged the property and your equipment, this policy would help to pay for the repairs.
- Inland Marine: If you do on-site maintenance or repairs, this coverage will protect your tools when they're in-transit or stored off of your property. If they're stolen, for example, while at a client's location, this policy would help to cover the cost of replacing them.
The above-mentioned tool grinding and repair insurance policies are just a few examples of the type of coverage you should carry as a tool grinder.
Tool Grinders' Risks & Exposures
Premises liability exposures can be moderate if customers visit the premises. Customers should not be permitted in the repair area. There should be adequate aisle space, no frayed or worn spots on the carpet, and no cracks or holes in the flooring. The number of exits should be sufficient, well marked, and have backup lighting in case of power failure.
Parking lots and sidewalks need to be in good repair with snow and ice removed, and generally level and free of exposure to slips and falls.
If the shop conducts repairs at the customer's place of business, repair persons should be trained in proper procedures to prevent premises damage, such as fire, while grinding or otherwise working on tools and implements.
Personal injury exposures include assault and invasion of privacy. Failure of the firm to run background checks and review references on employees both increases the hazard and reduces available defenses.
Product liability exposures can be high whenever work is performed on tools and implements due to the possibility of bodily injury or property damage.
Employees should be trained in proper repair procedures. Improper work can nullify warranties and transfer the responsibility for properly working products from the manufacturer to the repair operation. The products liability exposure will increase if reconditioned or used items are sold.
Environmental impairment exposures arise from the potential contamination of ground, air, and water from disposal of solvents, degreasers, metal chips, and grindings. Waste must be disposed of in an EPA approved method.
Workers compensation exposure can be extensive. Eye, skin, and lung irritations caused by chemicals, solvents, dust, and grindings are common, as are cuts, puncture wounds, foreign objects in the eye, back injuries from lifting heavy tools, and hearing loss from noise.
Safety training and protective equipment, including guards on the grinding and machining equipment, should be provided. Off-premises injuries, including trips, falls, automobile accidents, and animal attacks, can result from repair persons traveling to customers' premises.
Property exposures generally include an office, servicing area, and storage space for supplies and customers' items awaiting pickup. Ignition sources include electrical wiring, heating and air conditioning systems, and overheating of equipment used in the grinding operation, which may produce combustible metal chips and metal dust.
If repair is done, additional exposures may include welding operations. Flammables and combustibles such as oils, solvents, and degreasers, need to be used away from the welding area. Solvents should be stored in fireproof cabinets or rooms. Theft can be a concern if the tools being repaired are high-value target items.
Appropriate security controls should be taken including physical barriers to prevent access to the premises after hours and an alarm system that reports directly to a central station or the police department.
Crime exposure is from employee dishonesty and money and securities, particularly if repair persons collect payment at the time of service.
There must be receipt procedures and monitoring to encourage accurate reporting and collection. There must be a separation of duties between persons handling deposits and disbursements and handling bank statements.
If there is off-site work, there is the possibility of employees taking clients' property. Background checks should be conducted before permitting any employee to visit clients.
Inland marine exposures include accounts receivable if the shop offers credit, bailees customers, computers, tool floater, and valuable papers and records for customers' and vendors' information. Bailees include the goods of customers while being repaired or if the operation offers pick-up or delivery service.
Items should be padded and tied down during transit to prevent damage from breakage or collision. There must be documentation of tools received and records kept of who owns each item. Security should be appropriate for the type of tools being worked on.
Off-site exposures can be high due to the tools, equipment, and supplies carried to and possibly stored at customers' premises.
Commercial auto exposure may be limited to hired and non-owned. The exposures increases if the repair shop offers pick-up and delivery service to its customers or does repair and welding at the customer's premises.
Custom or specially designed equipment may be installed in vehicles. Drivers should have appropriate licenses and acceptable MVRs. All vehicles must be well maintained with documentation kept in a central location.
If vehicles are provided to employees, there should be a written policy regarding the personal use by employees and family members.
What Does Tool Grinding And Repair Services Insurance Cover & Pay For?
Tool grinding and repair services can be sued for various reasons, including:
- Personal injury: If a customer or employee is injured while using a tool that was improperly sharpened or repaired, the tool grinding and repair service may be held liable for the injuries.
- Property damage: If a tool is improperly repaired and causes damage to a customer's property, the tool grinding and repair service may be held liable for the damages.
- Breach of contract: If a tool grinding and repair service fails to fulfill the terms of a contract with a customer, the customer may sue for breach of contract.
- Professional negligence: If a tool grinding and repair service fails to provide services to a professional standard, resulting in damage or injury, the service may be held liable for professional negligence.
Insurance can protect tool grinding and repair services in these situations by providing coverage for legal costs, settlements, and judgments. Here are some examples of how insurance can help pay for a lawsuit:
General liability insurance: This type of insurance can provide coverage for personal injury and property damage claims. If a customer is injured while using a tool that was improperly sharpened or repaired, the general liability insurance can cover the legal costs, settlements, or judgments related to the claim.
Professional liability insurance: This type of insurance can provide coverage for claims of professional negligence. If a tool grinding and repair service fails to provide services to a professional standard, resulting in damage or injury, the professional liability insurance can cover the legal costs, settlements, or judgments related to the claim.
Contract liability insurance: This type of insurance can provide coverage for breach of contract claims. If a tool grinding and repair service fails to fulfill the terms of a contract with a customer, the contract liability insurance can cover the legal costs, settlements, or judgments related to the claim.
In summary, insurance can protect tool grinding and repair services from lawsuits by providing coverage for legal costs, settlements, and judgments related to claims of personal injury, property damage, breach of contract, or professional negligence.
Commercial Insurance And Business Industry Classification
- SIC CODE: 7699 Repair Shops and Related Services, Not Elsewhere Classified
- NAICS CODE: 811411 Home and Garden Equipment Repair and Maintenance
- Suggested Workers Compensation Code(s): 3632 Machine Shop NOC
Description for 7699: Repair Shops and Related Services, Not Elsewhere Classified
Division I: Services | Major Group 76: Miscellaneous Repair Services | Industry Group 769: Miscellaneous Repair Shops And Related Services
7699 Repair Shops and Related Services, Not Elsewhere Classified: Establishments primarily engaged in specialized repair services, not elsewhere classified, such as bicycle repair; leather goods repair; lock and gun repair, including the making of lock parts or gun parts to individual order; musical instrument repair; septic tank cleaning; farm machinery repair; furnace cleaning; motorcycle repair; tank truck cleaning; taxidermists; tractor repair; and typewriter repair.
- Agricultural equipment repair
- Antique repair and restoration, except furniture and automotive
- Awning repair shops
- Beer pump coil cleaning and repair service
- Bicycle repair shops
- Binoculars and other optical goods repair
- Blacksmith shops
- Boiler cleaning
- Boiler repair shops except manufacturing
- Bowling pins, refinishing or repair
- Camera repair shops
- Catch basin cleaning
- Cesspool cleaning
- China firing and decorating to individual order
- Cleaning and reglazing of baking pans
- Cleaning bricks
- Coppersmithing repair, except construction
- Covering textile rolls
- Dental instrument repair
- Drafting instrument repair
- Engine repair, except automotive
- Farm machinery repair
- Farriers (blacksmith shops)
- Fire control (military) equipment repair
- Furnace and chimney cleaning
- Furnace cleaning service
- Gas appliance repair service
- Glazing and cleaning baking pans
- Gun parts made to individual order
- Gunsmith shops
- Harness repair shops
- Industrial truck repair
- Key duplicating shops
- Laboratory instrument repair, except electric
- Lawnmower repair shops
- Leather goods repair shops
- Lock parts made to individual order
- Locksmith shops
- Luggage repair shops
- Machinery cleaning
- Mattress renovating and repair shops
- Measuring and controlling instrument repair, mechanical
- Medical equipment repair, except electric
- Meteorological instrument repair
- Microscope repair
- Mirror repair shops
- Motorcycle repair service
- Musical instrument repair shops
- Nautical and navigational instrument repair, except electric
- Organ tuning and repair
- Piano tuning and repair
- Picture framing to individual order, not connected with retail art
- Picture framing, custom
- Pocketbook repair shops
- Precision instrument repair
- Reneedling work
- Repair of optical instruments
- Repair of photographic equipment
- Repair of service station equipment
- Repair of speedometers
- Rug repair shops, not combined with cleaning
- Saddlery repair shops
- Scale repair service
- Scientific instrument repair, except electric
- Septic tank cleaning service
- Sewer cleaning and rodding
- Sewing machine repair shops
- Sharpening and repairing knives, saws, and tools
- Ship boiler and tank cleaning and repair-contractors
- Ship scaling-contractors
- Stove repair shops
- Surgical instrument repair
- Surveying instrument repair
- Tank and boiler cleaning service
- Tank truck cleaning service
- Tent repair shops
- Thermostat repair
- Tinsmithing repair, except construction
- Tractor repair
- Tuning of pianos and organs
- Typewriter repair, including electric
- Venetian blind repair shops
- Window shade repair shops
Tool Grinding And Repair Insurance - The Bottom Line
To find out more about the specific types of tool grinding and repair insurance policies you'll need, how much coverage your business should carry - speak with a reputable commercial insurance broker.
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
- Appliance Repair & Service
- Blacksmith & Metal Workers
- Boat Repair & Dry Docks
- Boiler Contractors
- Builders Risk
- Building Cleaning & Maintenance Services
- Cabinet Installer
- Cable And Satellite TV Installer
- Chimney Sweep
- Cistern Contractors
- Contractor Liability
- Curtain Cleaners
- Deck Builders
- 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
- Furniture Repair
- Garage Door Installer And Repair
- General Contractors
- Glass Contractor
- Glazier Insurance
- Gutter Installation And Repair
- House Cleaning
- HVAC Contractor
- Insulation Contractor
- Janitorial Cleaning Services
- Lawn Care
- Lawn Irrigation Sprinkler System Installation
- Oil And Gas Well Drilling Contractors
- 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
- Surety Bonds
- Swimming Pool Contractor
- Swimming Pool Service And Maintenance
- Tank Cleaners
- Tool Grinding And Repair
- Tree Surgeon
- Tree Trimming
- Upholstery Shop
- Waste Haulers & Garbage Collection
- Water Well Drilling
- Welding Contractor
- Wildlife & Pest Control
- Window Cleaning
- Specialty Contractors
The contracting industry is a field that involves a lot of risks, both for the contractor and for the clients they work for. This is why commercial insurance is so important for contractors. Insurance can protect contractors from a variety of potential losses, such as:
Liability: If a contractor causes damage to a client's property or if a client is injured while on a job site, the contractor could be held legally responsible. Liability insurance can cover legal fees and any settlements or judgments that may be awarded.
Property damage: Contractors often use a lot of expensive equipment and tools, and there is always a risk that this equipment could be damaged or stolen. Commercial property insurance can help cover the cost of replacing damaged or stolen equipment.
Business interruption: If a contractor is unable to work due to an unforeseen event, such as a natural disaster, insurance can help cover their lost income during this time.
Workers compensation: If a contractor or one of their employees is injured on the job, worker's comp can help cover medical expenses and lost wages.
Overall, commercial insurance is an important risk management tool for contractors. It can provide financial protection against a wide range of potential losses, helping contractors to stay in business and continue serving their clients.
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.