How much would insurance for running a business cost?

I was writing out a business plan for a carpet cleaning business and I'm trying to understand how much an insurance expense would cost. I don't have any idea. Could anyone give me an idea, and is there a way to roughly figure out what a businesses insurance expenses would cost for anything like a computer recycling company or running a bar? Any help would be greatly appreciated.

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  • 1 decade ago
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    For the carpet cleaning business, it depends on how you clean them, the number of vehicles you have, how much equipment you have, which coverages you need, your gross sales, your gross payroll.

    For computer recycling, it's property coverages, gross payroll, the area you occupy, gross sales if you resell, or what type of bonds you need, if you dump - and how much you dump each year, plus vehicle types and coverages.

    Running a bar, depends on liquor sales, food sales, gross payroll, entertainment, what types of food you serve, how many you can seat, and the times/hours of operations.

    For all of these, you're probably looking at somewhere between $2500 and $75,000, depending on all of those factors. Can't narrow it down any further than that, without a lot more accurate information.

    If this is a REAL business plan, you'll have to get REAL quotes. If it's fake, just make something up.

  • 5 years ago

    Rates vary wildly, based on exactly what type of business it is, which coverages you need, how MUCH of each coverage you need, etc. See, that carpet cleaning business doesn't need to buy liquor liability coverage, and that bar doesn't need mobile equipment coverage, most likely. You'll need to get very, very specific, and talk to a local agent, to get quotes. That carpet cleaning, will depend wildly on how much coverage you need on the truck - which will depend wildly on the age, equipment installed, driving info, etc - then you need workers comp, which will run around 15% of payroll, or $1500 whichever is MORE. Plus liability coverage, starting at $750, and mobile equipment coverage - 5% of value of equipmment.

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