For landscapers in Illinois, a well-manicured lawn is a work of art. But operating a successful landscaping business involves more than maintaining beautiful greenery. It requires protecting your company, employees, and reputation from unforeseen risks. A key safeguard against these perils is insurance. This guide will uncover what landscaper insurance might cost in Illinois based on your business size, highlight key factors influencing costs, and provide insights on getting the right coverage.
For landscapers in Illinois, having the right landscaping insurance coverage is essential. This usually includes general liability protection for landscapers to protect against third-party claims and workers’ compensation insurance for landscaping businesses to cover employee injuries on the job.
Key Statistics about Landscapers in Illinois
Illinois employs over 36,000 landscapers, with the highest concentration in the Chicago metro area. The median annual salary for landscapers in Illinois is $38,940. Key factors like staff size, years in business, and annual revenue impact insurance needs and premiums. Here are sample landscaping firms and typical annual insurance costs in Illinois:
Small Landscaping Business
- $150K Annual Revenue
- 1 Owner
- 1 Employee
Typical Insurance Costs:
- General Liability: $2,200 – $4,800
- Workers’ Compensation: $2,100 – $3,600
Medium Landscaping Business
- $500K Annual Revenue
- 1 Owner
- 3 Employees
Typical Insurance Costs:
- General Liability: $6,700 – $10,000
- Workers’ Compensation: $6,200 – $10,200
Large Landscaping Business
- $1M Annual Revenue
- 1 Owner
- 5 Employees
Typical Insurance Costs:
- General Liability: $8,200 – $12,900
- Workers’ Compensation: $9,500 – $10,400
Remember each business is unique, so partner with an insurance broker familiar with your specific risks and access to suitable carriers.
Key Factors Influencing Insurance Costs
Several variables impact landscaper insurance premiums in Illinois:
Services Performed: Specialized or dangerous services like tree removal may increase liability risks and costs compared to routine lawn maintenance. Examine how your service mix affects premiums.
Location: Areas prone to crime, severe weather events, or with high cost of living can increase premiums. Urban regions often cost more than rural.
Claims History: Frequent past claims will likely drive your premiums upward. A clean loss run helps keep prices down.
Payroll: More payroll increases workers’ compensation premiums. Keep payroll tightly aligned with your risk exposure.
Number of Employees: More employees mean greater exposure to injuries and claims. Evaluate whether part-time labor could reduce premiums.
Equipment Value: Higher value mowers, chainsaws, trucks, and other equipment raises potential payouts from insurers. Consider deductibles to lower premiums.
Revenue: More revenue means greater risks across all policies. However, higher revenue also provides more premium budget.
Coverage Limits: Higher liability limits increase potential payouts, raising premiums. But insufficient limits also leave you exposed.
Small Landscaping Business Insurance Costs
For landscapers with under $250K in annual revenue, up to 2 employees, and 1-2 vehicles, typical policies and estimated annual premium costs in Illinois include:
General Liability
Covers third-party bodily injury and property damage claims arising from operations.
Typical Limits: $1M per occurrence/$2M aggregate
Estimated Premium: $1,800 – $3,200
Commercial Auto
Covers vehicles used for business purposes like trucks and trailers.
Typical Limits: $100K/$300K/$100K
Estimated Premium: $1,600 – $2,800 per vehicle
Inland Marine
Insures equipment and tools onsite and in transit. Saws, mowers, and more.
Typical Limits: $10K – $20K
Estimated Premium: $750 – $1,500
Workers’ Compensation
Covers injuries employees sustain on the job. State mandated for nearly all employers.
Typical Limits: Statutory
Estimated Premium: $1,500 – $2,500
Business Owner’s Policy (BOP)
Bundles GL, property, and inland marine into one policy.
Typical Limits: $500K/$1M occurrence/aggregate
Estimated Premium: $3,000 – $5,000
Medium Landscaping Business Insurance Costs
For landscapers with $250K-$1M in annual revenue, 3-5 employees, and 3-5 vehicles, typical policies and estimated annual premium costs in Illinois include:
General Liability
Typical Limits: $1M/$2M
Estimated Premium: $4,500 – $7,500
Commercial Auto
Typical Limits: $100K/$300K/$100K
Estimated Premium: $1,800 – $3,200 per vehicle
Inland Marine
Typical Limits: $25K – $50K
Estimated Premium: $1,000 – $2,500
Workers’ Compensation
Typical Limits: Statutory
Estimated Premium: $4,500 – $7,500
Umbrella Liability
Extra protection beyond other policies’ limits.
Typical Limits: $1M
Estimated Premium: $750 – $1,500
Employment Practices Liability
Safeguards against employment lawsuits.
Typical Limits: $100K – $250K
Estimated Premium: $1,500 – $2,500
Large Landscaping Business Insurance Costs
For landscapers with over $1M in annual revenue, 5+ employees, and 5+ vehicles, typical policies and estimated annual premium costs in Illinois include:
General Liability
Typical Limits: $1M/$2M
Estimated Premium: $7,500 – $12,000
Commercial Auto
Typical Limits: $500K/$1M/$1M
Estimated Premium: $2,500 – $4,000 per vehicle
Inland Marine
Typical Limits: $50K – $100K
Estimated Premium: $2,000 – $4,000
Workers’ Compensation
Typical Limits: Statutory
Estimated Premium: $7,500 – $12,000
Umbrella Liability
Typical Limits: $2M – $5M
Estimated Premium: $2,500 – $5,000
Cyber Liability
Typical Limits: $100K – $250K
Estimated Premium: $1,000 – $2,500
Pollution Liability
Typical Limits: $50K – $250K
Estimated Premium: $1,000 – $3,000
Additional Insurance Coverages
Beyond the core policies above, landscapers may need:
Errors & Omissions: Protects against liability claims from professional mistakes or service failures. Vital for design/build landscape firms.
Typical Limits: $250K – $1M
Estimated Premium: $1,500 – $4,000
Fiduciary Liability: Covers claims against a company’s employee benefit plans. Applicable for larger companies with retirement, health, and welfare plans.
Typical Limits: $100K – $250K
Estimated Premium: $750 – $1,500
Employment Practices Liability: Safeguards against employment lawsuits around discrimination, sexual harassment, wrongful termination etc.
Typical Limits: $100K – $500K
Estimated Premium: $2,000 – $7,000+
Cyber Liability: Covers data breaches, hacking, and electronic theft. Essential for any business with a website or taking electronic payments.
Typical Limits: $100K – $500K
Estimated Premium: $500 – $3,000
Pollution Liability: Shields against property damage, bodily injuries, and cleanup costs from chemical exposure. Vital for heavy pesticide and fertilizer applicators.
Typical Limits: $50K – $500K
Estimated Premium: $750 – $5,000
Business Owner’s Policy (BOP): Bundles property, GL, and inland marine into one convenient policy. Streamlines coverage for small to mid-size firms.
Typical Limits: GL – $500K/$1M occurrence/aggregate; Property – $100K to $1M; Inland Marine – $10K to $50K
Estimated Premium: $2,000 – $10,000+
How Insurers Determine Landscaper Premiums
Insurers examine various factors when pricing landscaper policies in Illinois:
- Services provided – tree removal costs more than lawn mowing due to liability risks
- Location – urban areas often cost more than rural
- Claims history – multiple past claims drive premiums upward
- Safety record – strong protocols like equipment maintenance mean discounts
- Revenue – more revenue equals greater perceived risk
- Payroll amount – workers’ compensation premiums based on payroll
- Number of employees – more employees increase potential injury claims
- Equipment value – higher value gear costs more to insure
- Coverage limits – higher liability limits mean larger potential payouts
Insurers use these variables to estimate future claim likelihood and determine suitable premiums. Maintaining a clean claims history and rigorous safety standards are vital to control costs.
Getting the Right Insurance for Your Landscaping Business
Partnering with an insurance broker specializing in landscapers is key to secure tailored coverage at a competitive rate. They have access to carriers offering specialized products and understand the unique exposures landscapers face.
A landscaper-savvy broker will:
- Thoroughly evaluate your services, clients, location, equipment, payroll, and other risk factors
- Access niche insurance markets with landscaper-specific products
- Bundle policies together to maximize discounts
- Suggest ways to reduce premiums while still adequately protecting your business
- Continually review your evolving insurance needs as your company grows
Working with the right broker gets your landscaping operation the protection it requires to thrive in Illinois at an affordable cost. Never go it alone in the complex business insurance marketplace.
Conclusion
Insurance is vital for Illinois landscaping companies seeking to safeguard their enterprise, people, and assets. Partner with a knowledgeable insurance agent to secure proper coverage tailored to your specific risks and needs at a competitive rate. Maintaining adequate insurance allows your landscaping company to grow without worrying about unexpected liabilities damaging your success. With the proper protection, you can focus on operating a prosperous landscaping business across the state.