Learn about business insurance requirements and the most common policies for janitors and maids in Michigan.
Depending on the specifics of your cleaning business, you may be required to hold several different types of business insurance.
If you use a company car to visit customers’ properties, you may need to purchase commercial auto insurance to meet state requirements.
If you have a physical location with a commercial lease, your property manager may require you to purchase general liability insurance. Commonly purchased by janitors and maids in Michigan, general liability insurance can protect your business from expenses associated with common mishaps, such as customer property damage and injuries.
To meet state requirements in Michigan, every business with employees must provide workers’ compensation insurance, which covers lost wages and medical bills for work injuries.
Depending on your clients, you may also need to purchase a janitorial bond to fulfill the terms of a contract. This bond protects your clients from property loss due to employee theft.
The most common policies for cleaning businesses in Michigan vary depending on revenue, client contracts, partnerships, and other factors.
General liability insurance is the foundation of a cleaning business’s protection, with coverage that extends to client injuries, client property damage, and advertising injuries. Most commercial leases require you to have this coverage.
Small cleaning businesses might qualify for a business owner’s policy. This package helps your business save money by bundling commercial property insurance with general liability insurance at an affordable rate.
If you own a cleaning company in Michigan that has at least one employee working 35 hours each week for 13 weeks out of the year, your business is required to have workers’ compensation coverage. If you are a sole proprietor, coverage is optional. However, if you slip and break an arm while mopping, or develop carpal tunnel syndrome after years of cleaning, you can turn to your workers’ compensation policy to help pay your medical bills and lost wages.
Janitorial bonds are a type of surety bond that protect against losses caused by an employee’s dishonesty. If one of your maids or janitors steals from a client, a janitorial bond will reimburse your client.
Your clients might require commercial umbrella insurance to ensure protection against expensive lawsuits. This policy provides additional coverage on your general liability insurance, commercial auto insurance, and employer's liability insurance (part of workers' comp) once their limits are reached.
According to an analysis of Insureon applications, the typical janitor or maid in Michigan can expect to pay less than the national median for some types of business insurance and more than the national median for other types.
For example, the median annual cost of workers’ compensation insurance for janitors and maids in Michigan is $1,538, significantly lower than the national median of $2,834. On the other hand, the median annual premium for commercial auto insurance is $2,489, which is higher than the national median of $2,127.
Insureon’s industry-leading technology helps cleaning professionals in Michigan save time and money shopping for insurance by comparing policies from top U.S. providers. Start a free online application to review quotes for the policies that best fit your business. Our insurance agents are licensed in Michigan and can answer your questions as you consider coverage.
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