Protect Your Pet Care Business: Insure Your Success!
Taking care of animals is my passion. And if you are in this industry, I’m guessing it is yours, too.
And although rewarding, taking care of someone else’s pet is a huge responsibility! An owner trusts you to care for their beloved pet and return them unharmed. But accidents can happen, even to the most skilled among us.
I have been in the pet care industry for a long time, first as a groomer, now as a boarder and dog walker. I have heard so many tragic stories.
I’ll never forget when tragedy struck at a grooming salon where I worked almost twenty years ago.
It was this sweet poodle mix’s first time in our salon. He had come in for a trim, and he left looking super cute. But then the call came. That sweet boy had an allergic reaction after he left the salon. Despite the vet’s best efforts, he passed away.
No one could say for sure what had caused his reaction. But because he had been at the salon earlier in the day, the dog’s owner assumed it was something he came into contact with there that caused his reaction.
We were all devastated. To think that something we did or used could have caused the death of a dog was unthinkable. But it happened.
The owner did not pursue legal action against the salon, but it was a wake-up call to us all.
Even though we had taken all safety precautions, things can still go wrong. I don’t know if we could have done anything differently that day to prevent that dog’s death. But knowing that the salon had insurance in place for such accidents gave us all peace of mind.
We all had a place to continue to work, and the owner was able to keep her business.
Having the proper insurance in place is essential when running a business.
There are several very real reasons to carry the proper coverage.
Let’s take a look at a few.
Why Does My Pet Care Business Need Insurance?
Maybe your business is just you, and you don’t have a building that needs to be insured or employees to worry about. Why would a business with one person and no real assets to speak of need insurance?
Prevent Loss of Personal/Business Property
Every business needs insurance. If you own a pet care business that cares for other people’s animals, you really need insurance. Animals can be unpredictable. But having the proper insurance policies in place will protect your personal assets when something goes wrong.
Even if you are a very small operation, you will want to be protected against financial losses should an animal be injured while in your care.
If your business has employees, there are additional policies needed to insure their safety or protect your business from their mistakes or negligence.
Give Clients Peace of Mind
Pet parents feel confident in your ability to care for their pets. They also want to feel confident that your business will do the right thing if something happens to their fur baby.
Clients prefer to work with businesses that have the proper insurance. It illustrates that your business is stable, and is not just a hobby business. It will help you stand out among the sea of peers that seems to grow every month with the popularity of apps such as Rover or Wag.
You want to have the right amount of insurance for everyone's peace of mind.
Accidents Happen
All pet care professionals, from groomers to dog trainers, know a single accident can damage a business's reputation for years.
Being able to do right by your clients in the event of a disaster should be part of your customer service plan. Insurance will protect you and your business from financial ruin when an accident happens.
With so many different policies available, it can be hard to sift through them all to figure out what your business needs and what it doesn’t.
Insurance Policies to Consider for Your Pet Care Business
There are so many options! How do you know what each policy type is, and if you even need it?
Let’s take a look at the different products out there.
For all pet care businesses:
General Liability: This covers bodily injury or property damage to third parties. This type of policy will cover anyone injured or property damaged by a pet in your care. It may also cover you if you are found liable for damage to your landlord’s property if you are renting a commercial space.
Professional Liability: Protects against any errors or omissions made in the course of doing business. What this means for the owner of a pet care business is that you are covered should you be accused of negligence which causes an animal to be injured while in your care, and you are found liable for that injury.
Animal Bailee: This type of policy will pay medical bills for an animal that sustained an accidental injury while in your care. It will usually cover the cost of advertising to recover an escaped or lost animal, as well.
Vet Bill Reimbursement: This policy provides coverage for veterinary expenses you may incur for animals in your care. These expenses do not have to be the result of negligence. It could be used when a pet becomes ill or has an accident that is outside of your control.
These are the four basic coverages you should consider when operating a pet care business. The cost will depend on the amount of coverage and other factors, such as the deductible amount.
There are several other policy options out there if your business has employees, a physical location, or if you use your personal vehicle to transport animals.
Depending on your business, you may want to consider:
Lost Key Liability Coverage: Replaces or repairs client keys and locks in the event they are lost, stolen, or damaged. This could come in handy if you are a dog walker, or employ other dog walkers. Losing a client’s key is a huge problem, and can put your client’s safety at risk. This coverage will cover the costs of replacing keys and locks, and any damage caused when trying to gain entry into the client’s residence.
Equipment & Inventory Coverage: Also known as Inland Marine Insurance, this policy covers lost, stolen, or damaged equipment. This policy would be helpful for a business with a physical location and expensive equipment that would be costly to replace, such as a grooming salon or a border kennel.
Business Income: Sometimes called Business Interruption Insurance, this policy covers the loss of income caused by “peril.” The cause could be something like fire or theft and will be outlined in the policy. This coverage should be considered if your income would be disrupted by serious damage at your business’s physical location.
Worker’s Compensation: Covers medical expenses of injuries sustained while working by you or your employees. Most states require businesses to carry Worker’s Compensation insurance. Check your local regulations for guidance.
Employee Dishonesty Coverage: Protects a business owner from financial losses due to fraudulent or dishonest behavior of an employee. If you have employees, this policy should be on your radar.
Commercial Auto Insurance: Covers your personal vehicle while it is being driven for business purposes. If you are using a personal vehicle for your business, and have an accident, your regular car insurance may not cover all the damages.
Commercial Property Insurance: Needed for businesses operating in a commercial space, like a retailer or veterinary clinic. If you are leasing a space, your landlord will likely have requirements for the type and amount of insurance you will need to carry.
This list is not exhaustive but is meant to get you thinking about what coverage your business may need. Talking to an insurance carrier will help you sort through what policies are a must-have and what you can skip.
How Much Does Pet Business Insurance Cost?
Insurance costs will vary depending on what coverage your business needs. A large doggie daycare would need to carry more insurance than a single dog walker, for instance.
Another factor is the dollar amount of coverage you need and the affordability of the deductible.
There are also many different insurance carriers with varying prices. I have seen a quote for the top four policies for less than $14 a month. Some carriers may have additional value built into their offerings, like community membership or advertising.
Take a hard look at what kind of care you offer, and think of possible scenarios you could run into. Then compare that to the list of policy types to figure out what you need.
Still have questions or are not sure? Reach out to an insurance agent, and they can help you decide.
Sources:
