What to check every month or every new job
You fix things for people. Your insurance needs to cover the work you do. A ghost policy can't cover work above 15 feet, so if any of your handyman work goes that high, you need regular workers' comp instead. Here’s what to check often.
1. Match your class code to the work you do. A class code is a number that tells insurance companies what kind of work you do. If you started doing plumbing jobs last week, your code might need to change. Your quote uses the code for the work you do.
2. Update your certificate if a new client asks for it. A certificate of insurance (COI) is a paper or email that shows you have coverage. If a new customer wants proof before you start work, you must send them the latest version. Old COIs can lead to big problems if something goes wrong on the job.
3. Check the details on the certificate. Make sure the names, dates and policy number match what the client asked for. If you’re working on a new type of project, your policy might need to change. Get a new quote if needed.
What to check when your policy renews
Every year or so, your insurance policy will end and you have to get a new one. These are the main things to look at when you renew.
1. Double-check the class code for your state. Some states, like California, use their own class codes for the same kind of work. When you renew, make sure the code on your application is correct for your state and your work.
2. Remember what your policy does not cover. A ghost policy does not cover you, the owner, if you get hurt while working. You reject coverage for yourself when you buy it. A 👻Ghost Policy never covers the owner; if you want coverage for yourself, you need regular workers' comp.
3. Update any details that changed in the last year. If you started doing a new kind of job, added tools or equipment, or changed where you work, let your insurance company know. They may change your price or coverage based on the new info.
What to check when you hire your first helper
Hiring someone else changes everything. A ghost policy is for the owner only. That means no employees and no subcontractors of any kind, even subs who carry their own insurance or hand you a certificate. If anyone else works for you — an employee, a subcontractor, a 1099 worker, day labor, or a family member who helps — you need regular workers' comp, not a ghost policy. These are the key steps to take.
1. Do not let your helper work without coverage. If you hire someone, even for a few hours, they need regular workers' comp, not a ghost policy. Wait until your new policy is active before they start work.
2. Get regular workers' comp for your new setup. The ghost policy you had for yourself alone won’t work for a business with other people. A regular workers' comp policy will ask about how many people you have working for you and what kind of jobs they do.
3. Check if your state requires you to have insurance for employees. Most states need you to have workers' comp if you have anyone working for you. It helps pay for injuries that happen on the job. Find out what your state requires before you hire anyone.
What to keep on file at all times
Always keep these papers and info ready in case you need to show them quickly.
1. Your current certificate of insurance. Save it as a PDF or print it out. Keep it in a folder with other business papers.
2. Copy of your policy documents. The COI is just a summary. Your full policy has all the rules and limits. Keep it in case someone asks for more details.
3. Proof of your class code and coverage type. Save any emails or notes from your insurance company that show what code you used and what your policy covers. If someone questions your coverage, you can show them the proof.
When to get a new quote
Here are the times you should get a new quote to make sure your insurance still works for you.
1. When you change the kind of work you do. If you start doing plumbing jobs or electrical work, your class code might be different. Your insurance price and coverage could change too.
2. When you hire someone or stop working alone. A ghost policy cannot cover anyone who works for you, employee or subcontractor. You need regular workers' comp, a different policy from the ghost policy this site sells. If you go back to working alone, your insurance can change again to match your new setup.
3. When your current policy is ending. Always get a new quote before your current policy ends. If you wait, you might not have coverage for a day or two, and that can be a big problem if something happens on the job.
What to know if you start a new job type
Handymen do many kinds of work. If you start doing something new, your insurance might need to change.
1. Know your new class code. Each type of work has its own code. Painting, plumbing, and electrical work all have different codes. Your quote uses the code for your new job.
2. Get a new quote for the new work. The class code follows the work you do, so a new kind of job can mean a new code and a new price.
3. Get a new quote if your price or coverage changes. Some types of work cost more to insure. If your new job type changes your risk, your insurance price might go up. Check your quote before starting the new work.
