Insurance Premium to Gross Revenue ratio

[candoarms]

I just checked with North Dakota's Workforce Safety....otherwise known as Worker's Comp.

The rate they charge for landscaping employees is 2.13% of their wages. For tree work the rate goes up to 5% of the employee's wages. Keep track of the employee's hours in each category worked and pay accordingly per month.

I forgot to mention that there's a wage cap of $35,600. Any wages over that amount are exempt from Workforce Safety Insurance fees.

Joel

 

[SouthSoundTree-]

That's ridiculously cheap!!! 50 cents per hour for WC/ $10 hourly wage for tree work, plus its capped!

Through WA State WC I pay hourly. $3.45 or $4.35, or something close per hour.

 

[Bermy]

So...how come in Oz tree work P/L is minimum 10 million, and you guys in US can get way less?

I'm paying about the same for my 10 million that Steven is paying for 1 million!
Ok, my gross is way less but still!

 

[SouthSoundTree-]

P/L? professional liability insurance? What we call General Liability Insurance?

I have $1M, for $1200-1500, based off revenue, I believe.

 

[Bermy]

Sorry, Public Liability, you know, for if you drop a tree on someone's house or car or dog...or them.

I just wonder why over here they assess tree work as needing a minimum of 10 million public liability.
In Bermuda I don't even have to have it, but much better to, and my insurer in Oz gives me an extension to Bermuda...convenient!

 

[candoarms]

My business liability insurance covers landscaping, tree work, snow removal, turf and tree spraying, mowing, fence installations, etc. NO DIGGING....such as with a backhoe, or excavator. I am not covered for digging basements, or installing drain tile, for example. Based on gross sales, my insurance runs 1800 per year and I'm covered for up to 1 million dollars per incident. Bonding is not required unless some contract specifies it.

Joel

 

[HolmenTree]

I'm a licensed Manitoba Arborist licensed by the Manitoba government. To hold that license I have to hold $2 million liability insurance, which costs me $1200 a year and in the same policy my equipment is covered for a extra $800 . My deductible is $500.
Any damage to underground utilities I have to pay $2000 deductible , if I pay more premium my underground deductible would be less.
My workers comp for myself as I work solo is $300 year.

 

[NickfromWI]

Ugh. It sucks reading how little you pay.


love
nick

 

[sotc]

Our comp is about 25-28 % of wages.
1 million liability isn't realistic anymore. With the exchange rate to Oz right now Fi, I think you're in a reasonable range. The first million in coverage is the most expensive. I should probably see what it takes to go up to 5 million.

 

[SouthSoundTree-]

good thoughts, Willie. Thanks.