We see you.
Scrap metal dealers are an overlooked, essential part of the economy. Perhaps more importantly, scrap metal dealers help the environment in ways many companies can’t.
Scrap metal businesses are not junk yards. They are recycling centers. Businesses. A benefit to neighbors and neighborhoods.
A scrap metal business can help people find that piece they’ve been looking for. And that, at a discount price. Without creating more waste.
Recycling metals is a significant benefit to us all. Collecting and trading material that would otherwise be discarded is a wonderful way to add more goodness to the world.
And if you can make a profit while doing so, everyone wins!
Still, as it goes with every business, there are inherent risks involved. Do you know the coverages your scrap metal business needs or how to obtain the proper insurance?
Don’t worry. We’re here to help!
Business Owner’s Policy for Scrap Metal Dealers
There are standard insurance needs every business has. A Business Owner’s Policy will help you cover the basics.
Here they are:
- Products and Completed Operations
This will protect you from customer lawsuits alleging property damage or injury due to your product or completed service
- Premises Liability
If a person is injured on your property, you can be covered.
- On-Site Equipment Insurance
Covers your tools and equipment when they are located at a specific worksite or while in transit from one site to another
- Business Income Insurance
Help cover the loss of business income if you can’t operate because of a covered peril. Premises Medical
- Coverage for Inventory Loss
Your scrap metal yard contains the bulk of your inventory. Damage from a storm or theft won’t need to cause significant hardship.
- Building and Personal Property Protection
Protect every building, all of your equipment, and even your personal property with this coverage.
- Fire Legal Liability
A fire may cause damage to and beyond your property or business. Ensure you can recover from unexpected fire damage.
- Crime Insurance
A scrap metal business can be targeted for crime. You don’t have to suffer further losses if criminals damage your business.
Still, insurance is not a one-size-fits-all proposition. Especially for a scrap metal business.
Specific Insurance Needs for Scrap Metal Dealers
Beyond the insurance coverages listed above, you will need to consider what else your specific scrap metal business needs.
Do you have employees?
Then you should have workers’ compensation insurance.
Do you transport material?
Then you need inland marine insurance.
Further, it would be wise for you to consider how to handle hazardous material. Gas, oil, antifreeze, freon, or other chemicals may be left in cars.
And unfortunately, people may leave hazardous materials on your property, considering it their own personal dump site.
You should be protected. We can help.
Protect Your Scrap Metal Business’ Equipment
If you want to be a successful scrap metal dealer, you will need no less than the following equipment:
- Lifting Magnet
- Scrap Metal Hopper
- Open-Side Self Dumping Hopper
- Flatbed Self Dumping Hopper
- Pallet Jack With Scale
- Pallet Floor Scale
- Pocket Magnet
- Bench Grinder
- Handheld XRF Analyzer
- Cut-off Saw
- Wire Stripping Machine
- Wire Stripper & Cutting Tool
Current research suggests that starting a scrap metal business can cost over $35,000! That’s not pocket change.
If your tools or equipment are damaged or stolen, you don’t just need to replace them. You need to recoup the time lost by not being able to utilize them to operate your scrap metal business.
But don’t worry; we’ve considered all these factors – and more – so that you don’t have to.
Owning and operating a business is enough for a person to concern themselves. No business owner should have to worry about the inevitable losses that come from various, unpredictable places.
JFA Understands the Best Insurance for Scrap Metal Dealers
Your business is unique. Our team of friendly experts is eager to listen to you and learn what insurance coverages you need.
And what you don’t.
We want to see you thrive. You have a business to run and dreams to chase. We are here to ensure you can do both – worry-free.
JFA Insurance Brokerage and Associates has over 30 years of experience. We are licensed in all 50 states. We’ve been around the block. We can help you see what’s coming around the corner.
Reach out today for a free quote! Your scrap metal business’ best days are ahead. JFA Insurance Brokerage and Associates will be honored to help you get there.