How to Lower the Insurance Cost for Your Concrete Construction Business
- Nate Jones, CPCU, ARM, CLCS, AU
- Jan 16
- 2 min read
Concrete construction is a high-risk industry, requiring multiple types of insurance to protect your business, employees, and clients. However, insurance premiums can be expensive. Understanding how premiums are calculated and implementing strategies to lower costs can save your business thousands of dollars annually while maintaining comprehensive coverage.
Factors That Affect Insurance Costs
Before exploring cost-saving strategies, it’s important to know what drives premiums:
Business Size and Employees – More employees increase workers’ compensation costs.
Revenue and Project Scope – Higher revenue and larger projects require higher coverage limits.
Equipment and Vehicles – Trucks, mixers, and specialized tools impact commercial property and auto insurance premiums.
Type of Work – Industrial or commercial concrete projects are higher risk than residential jobs.
Claims History – Businesses with previous claims are considered higher risk by insurers.
💡 Tip: Understanding these factors allows you to make strategic adjustments without compromising protection.
Strategies to Reduce Insurance Premiums
Bundle Policies: Combine general liability, commercial property, and commercial auto insurance into a Business Owner’s Policy (BOP). Bundling often results in significant discounts.
Increase Deductibles: Opting for higher deductibles lowers your annual premiums. Ensure you have sufficient funds to cover the deductible if a claim arises.
Invest in Safety Programs: Implementing employee training, safety equipment, and secure material handling practices reduces workplace accidents, which can lower workers’ compensation premiums.
Review Coverage Regularly: Remove outdated equipment, unused vehicles, or adjust limits based on current business needs to avoid overpaying.
Maintain a Clean Claims History: Avoid unnecessary small claims and address risks proactively. Insurers reward businesses with fewer claims with lower rates over time.
Essential Insurance for Concrete Construction Businesses
While reducing costs is important, do not compromise essential coverage:
General Liability Insurance: Protects against third-party injuries and property damage.
Workers’ Compensation Insurance: Covers employee injuries on the job, legally required in most states.
Commercial Property & Equipment Insurance: Protects tools, machinery, and workspace.
Commercial Auto Insurance: Covers vehicles used for transporting employees, materials, or equipment.
💡 Tip: Cutting coverage entirely is risky. Focus on cost-efficient strategies that maintain protection.
Getting a Quote
The best way to find affordable insurance is to compare quotes from specialists who understand your industry. Wexford Insurance offers tailored coverage for concrete construction businesses, helping you balance cost and protection. Start your quote here: Get a Quote from Wexford Insurance.
