Workers Compensation Insurance for Cleaning Businesses
Big or small, every cleaning business needs to be prepared for the unexpected. If an accident happens to your employees, whether it’s a slip or a strain, workers compensation insurance for cleaning businesses gives your employees the care they need and protects your business from potential lawsuits.
What Is Workers Comp for Cleaning Businesses?
Workers compensation, sometimes referred to as workers comp, is a type of cleaning business insurance that safeguards your company and its employees when work-related injuries or illnesses happen. It’s especially important for cleaning businesses, where physical tasks and exposure to cleaning products can increase the risk of accidents or health issues.
It’s designed to:
- Protect your employees with financial support to cover their medical bills and missed wages.
- Shield your business from facing the full financial burden of workplace accidents and costly lawsuits.
For example, if an employee slips on a wet floor, injures their back lifting heavy equipment, or develops a health problem from using cleaning chemicals, workers compensation can cover their medical costs and provide partial wages while they recover.
In many states, workers compensation insurance for cleaning businesses is legally required if you have one or more employees.
What Can Workers Compensation Insurance Cover?
- Medical treatment
- Injury rehabilitation
- Physical therapy
- Legal fees
- Missed wages
- Funeral costs
- Disability pay
- Survivor benefits
What Isn’t It Designed to Cover?
- Injuries/accidents caused by intoxication or drugs
- Claims after termination
- Injuries from company policy violations
- Wages for a replacement worker
- Independent contractor injuries
- OSHA fines
- Fights your employee caused
- Intentionally caused illnesses, injuries, or death
- Discrimination
- Failure to promote
- Wrongful termination
- Incidents occurring during a commute
Do Cleaning Businesses Need Workers Compensation?
Cleaning work often involves physical labor, exposure to chemicals, and other risks that can lead to workplace injuries or illnesses. Whether required by law or simply a smart business decision, workers comp provides a safety net for unexpected accidents.
Who Needs Workers Compensation?
If your business falls into one of these categories and has employees, you need to have workers compensation coverage in addition to your general liability insurance:
- Carpet Cleaning
- House Cleaning
- Janitorial
- Maid
- Window Cleaning
- Pressure Washing
Common Risks in the Cleaning Industry
Working with chemicals, heavy equipment, and traversing a variety of client properties day in and day out presents unique risks for your employees. Many cleaning business claims stem from these all-too-common scenarios that can result in an employee injury or illness:
- Slip-and-fall accidents: Your employee mops a client’s kitchen floor. The homeowner walks through, slips, and now you’re facing a liability claim. A single injury could cost thousands in medical bills.
- Repetitive motion injuries: One of your cleaners has been scrubbing and vacuuming for months. They start complaining of wrist pain, and soon they need time off for carpal tunnel syndrome. Repetitive motion injuries are a slow-moving problem that can lead to lost productivity and workers comp claims.
- Chemical exposure: A cleaner accidentally mixes bleach with another chemical, causing respiratory issues. Now, you’re dealing with a health scare and a possible lawsuit.
- Equipment-handling injuries: An employee carries a heavy vacuum upstairs. They slip, twist their back, and suddenly can’t work for weeks. You’re left short-staffed, and workers compensation claims can add up fast.
How Much Does Workers Comp Cost?
With workers comp costs, no two cleaning businesses are the same. There are several that influence your average insurance costs, so it’s important to evaluate your specific risks and coverage needs.
- Type of work: The jobs your employees do impact the cost of your policy. For instance, a window cleaner working at height will have different insurance costs than a maid or carpet cleaner working indoors.
- State requirements: Workers compensation rules, coverage requirements, and premium rates vary by state.
- Risk exposure: Jobs with higher risks may pay higher premiums. Riskier cleaning jobs, like pressure washing, may have higher premiums compared to cleaning businesses like house cleaning or janitorial services.
- Payroll classification paper: Your employees’ job roles are classified using codes that help insurers determine risk levels.
- Annual gross payroll: Insurance premiums are often calculated based on the total payroll. Covering more employees increases the risk of a claim overall, so if you have a larger team or higher wages, your premium will likely be higher as well.
For example, a residential cleaning business in Florida with employees classified under NCCI Class Code 0917 pays an average workers compensation rate of $3.23 per $100 of payroll.
For a business with a $200,000 payroll, this could look like:
- $200,000 ÷ 100 = $2,000
- $2,000 × $3.23 = $6,460
So, a residential cleaning business with a $200,000 payroll would pay around $6,620 per year in workers comp premiums.
How to Apply for Workers Compensation Insurance
Before you can apply for workers compensation insurance, you’ll need a basic cleaning business insurance policy in place. Once you have that, you can easily add workers compensation to cover your employees. Here’s how to get started:
- Determine your workers compensation needs
Consider how many employees you have, the types of cleaning services you provide, and what risks they may encounter. This helps you figure out the coverage you’ll need. - Gather necessary information
To make the application process smooth and quick, gather basic details such as:- Business name, address, and contact info
- Payroll and employee info
- Existing liability or business owner policy (BOP) policy details
- Claims history (if any)
- Start your application with Insurance Canopy
Fill in the application, provide your details, and you’ll be on your way to securing workers compensation coverage. - Review and finalize your policy
Review your quote carefully once you receive it to ensure it meets your business’s needs and aligns with your existing liability or BOP policy. If everything looks good, finalize your coverage. - Inform your employees about coverage
It’s important to let your team know that they’re covered under workers compensation. Explain how it works and what they need to do if an accident or illness happens while they’re working. - Stay protected with ongoing support
Insurance Canopy offers ongoing support to make sure your coverage keeps up with your business’s changes. Let us know if you hire more employees or expand your services, and we’ll update your coverage.
How to Cut Workers Comp Costs Through Safety Practices
Keeping your workers safe isn’t just good for your team — it’s also good for your wallet. By adopting a few key safety practices, you can better control your workers comp costs:
- Prioritize employee training
Make sure employees know how to do their jobs safely. Training reduces the chance of accidents and helps keep your insurance rates down.- Teach proper lifting techniques to avoid strains and back injuries.
- Train workers on safe chemical handling and equipment use.
- Offer regular refresher courses to reinforce safety protocols.
- Invest in proper tools
Providing the right equipment for the job can prevent injuries and make your team more efficient. Whether it’s heavy-duty vacuums for carpet cleaners or safety gear for pressure washers, the right tools can help you avoid costly claims.- Ensure all employees have PPE like gloves, masks, and slip-resistant shoes.
- Invest in ergonomic cleaning tools to prevent repetitive stress injuries.
- Regularly inspect and replace worn-out equipment.
- Promote safety awareness
Foster a culture of safety in your workplace. A team that’s always thinking about safety is less likely to get hurt, which means fewer claims and lower premiums.- Encourage employees to report hazards before they become serious problems.
- Set up an anonymous reporting option to ensure all risks are addressed.
- Conduct regular safety audits to spot and fix potential dangers.
- Hold monthly safety meetings to keep best practices top of mind.
- Adapt policies based on past incidents and industry standards.
FAQs About Workers Compensation for Cleaning Businesses
How do I know if my employees qualify for workers compensation?
In general, if employees work directly for your business (full- or part-time) and you have workers comp insurance, they should be covered. Workers comp typically applies to anyone who is on your payroll and works under your supervision, though specific requirements vary by state. Check with your insurance provider or state regulations.
Does workers compensation cover injuries outside the workplace?
Workers compensation insurance generally only covers injuries that happen while employees are on the job. So, if an employee gets injured while working, they’ll likely be covered, but injuries outside of work are not typically included.
Can workers compensation cover long-term disabilities caused by repetitive cleaning tasks?
Yes. If an employee develops a long-term condition (like carpal tunnel syndrome or back pain) from doing the same task repeatedly, workers compensation can help cover medical costs and lost wages. These types of injuries fall under “occupational diseases” and can be covered, so it’s important to report them to your insurance provider promptly.
Protect Your Employees and Your Bottom Line – Get Workers Comp in Minutes!
Accidents happen, but you can be ready. Don’t wait until it’s too late — take the first step toward securing your workers and your future today! Get a quote for your workers compensation coverage and get covered in minutes.
