How much does lawn care insurance cost?
Lawn care business insurance costs are determined by several factors, including your company size and its risks. Save money on small business insurance by comparing quotes from different providers with Insureon.
Top lawn care insurance policies and their costs
Here are the top insurance policies purchased by lawn care businesses and their average monthly costs:
- General liability insurance: $57 per month
- Workers' compensation insurance: $123 per month
- Tools and equipment insurance: $42 per month
- Commercial auto insurance: $255 per month
Our figures are sourced from the median cost of policies for lawn care professionals who apply for quotes with Insureon. The median offers a better estimate of what your business is likely to pay because it excludes outlier high and low premiums.
General liability insurance
Lawn care contractors and businesses pay an average of $57 per month, or $685 annually, for general liability insurance. This policy is sometimes called public liability insurance.
General liability insurance covers common landscaping risks, including third-party property damage and bodily injury. For example, if your employee damages a client's backyard décor with their lawn mower, a general liability policy would help pay to repair or replace the damaged item.
This policy also helps pay for legal fees if someone sues your business over an advertising injury, such as defamation or copyright infringement.
Some lawn care small business owners may need proof of general liability insurance to sign a commercial lease or secure a client contract.
Below is the average general liability policy for lawn care businesses that buy from Insureon:
Insurance premium: $57 per month
Policy limits: $1 million per occurrence; $2 million aggregate
Insureon’s licensed agents typically recommend a business owner’s policy (BOP) for small, low-risk landscaping companies that own or rent commercial property. This policy combines general liability coverage with commercial property insurance at a discount to protect your building or office and everything in it.
For lawn care business owners, the average cost for a business owner's policy is $85 per month or $1,025 annually. To protect against financial losses due to a forced closure, such as from a fire or flooding, you can also add business interruption insurance to a BOP.
General liability insurance costs depend on factors such as the coverage limits you choose, the size of your business, how many clients you have, and whether you choose to add endorsements, such as an additional insured or pesticide or herbicide applicator coverage.
Learn more about how your insurance premium is calculated and how to save money on your general liability coverage.
Workers’ compensation insurance
The average cost of workers’ compensation insurance for lawn care professionals is $123 per month, or $1,476 annually.
A workers’ compensation policy covers medical bills and disability benefits if you or an employee gets injured or ill on the job, such as a worker who inhales pesticides and gets sick. Businesses with employees typically must buy workers' comp to comply with state requirements and avoid penalties.
Workers' comp state laws vary, so your specific requirements will depend on the state you work in. For example, every licensed contractor in California will need this coverage when Senate Bill 206 goes into effect in 2028. Meanwhile, coverage is optional in Texas.
Since health insurance plans can deny claims for injuries related to your job, workers' compensation coverage is also recommended for sole proprietors as a financial safety net and for extra peace of mind.
The cost of workers' comp depends on several factors, primarily the number of employees and their occupational risks. You can save money on your workers' comp coverage by classifying your employees correctly and implementing a risk management plan to minimize work-related injuries.
Tools and equipment insurance
Lawn care service businesses pay an average of $42 per month, or $503 annually, for tools and equipment insurance.
Also called inland marine insurance, this policy covers your business property whether it’s in transit, at a jobsite, or stored off-site. Tools insurance can pay for lost, stolen, or damaged tools and equipment, such as lawn mowers, trimmers, leaf blowers, and more.
It's important for lawn care professionals to carry this coverage, as commercial property insurance only covers items at your main business location.
The cost of tools and equipment coverage depends primarily on the condition and value of your tools and equipment. Items valued at over $2,500 may need to be scheduled separately on the policy.
Commercial auto insurance
Lawn care companies pay an average of $255 per month, or $3,062 annually, for commercial auto insurance.
This type of business insurance pays for property damage and medical expenses from accidents involving your company vehicles, such as your business-owned truck. It can also cover vehicle theft, vandalism, and weather damage.
Most states require this type of insurance for vehicles owned by your landscaping business. For personal, rented, and leased vehicles used for work purposes, look to hired and non-owned auto insurance (HNOA) instead.
The cost of commercial car insurance depends on several factors, including the policy limits you choose, claims history, the number and value of your vehicles, and the driving records of anyone permitted to drive. Learn how insurers calculate your premium and how to save money on commercial auto coverage.
How are lawn care insurance costs calculated?
Lawn care business insurance coverage costs are determined by several factors. While underwriting your policy, insurance companies will consider the following when calculating insurance rates:
- The types of lawn care services offered: Lawn care companies may see elevated premiums if they offer higher risk services, such as chemical treatments and pesticide applications, compared to lawn care businesses that only provide mowing.
- Business property and landscaping equipment: Lawn care owners that operate with higher-value vehicles or equipment are likely to see higher premiums. Also, any items that are frequently used could cost more to insure than items which are used less often.
- Location: If your lawn care business operates in an area that is prone to natural disasters, increased foot traffic, or high crime rates, you may have to pay higher insurance costs than a company in a region with lower risks.
- Number of employees: If your lawn care company has several employees on staff, you could see increased insurance costs as there are more opportunities for accidents to happen or for potential damage to occur.
- Business size and revenue: Insurance companies might assume that a lawn care business that is making more money will see increased customer exposure, which can generate higher premiums.
- Coverage limits and deductibles: Lawn care companies with higher coverage limits and lower deductibles on their insurance policies will typically increase their premium costs, while lower limits and a higher deductible can help keep their rates lower.
- Type of business operation: A lawn care company that has small residential clients can expect lower insurance rates than a company that takes on large commercial clients.
- Types of coverage: Some lawn care projects require obtaining certain policies. These required policies, such as professional liability insurance, are often needed to cover more expensive accidents and lawsuits, which tend to cost more than basic coverages. In addition, client contracts can often require license or permit bonds. These are relatively affordable, with an average cost of $9 per month, or $112 annually, for landscaping companies.
- Claims history: A lawn care business with a lengthy list of previous insurance claims will likely pay more for insurance than one with a clean claims history.
- Risk management: Lawn care businesses may qualify for lower insurance rates if they have a documented training program for employees, perform regular equipment maintenance, and follow strong safety practices.
How do I get affordable lawn care business insurance?
Insureon can help lawn care businesses, landscape designers, tree service companies, and irrigation professionals find affordable insurance coverage, whether you work independently or hire employees.
To get started, all you need is your business information on hand. Our insurance application will ask for basic facts about your business, such as revenue and number of employees. Then, you can buy a policy online with Insureon in three easy steps:
- Fill out a free online application with details about your business.
- Compare custom quotes from top-rated U.S. insurance companies.
- Select a policy and pay the premium to begin coverage.
Our licensed insurance agents are available to answer questions about your risks, state insurance requirements, and the best coverage for your business needs.
Once you've bought the landscaping insurance policies you need, you can download a certificate of insurance (COI) for proof of coverage. Most small business owners can get insured within 24 hours of applying for quotes.
What our customers are saying
The average costs on this page were derived from our data on small business owners in the lawn care field who purchased policies through Insureon. Most of our customers have less than five employees, annual revenue ranging from around $50,000 to more than $200,000, and five years or less in business.
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