Why should I get insured, licensed or bonded?

Question

for a house cleaning business? What are the typical costs of those things?

Answer 1

Other than a business license through your local municipality, I don't think there is a license for house cleaners.  I know for sure that there is not a house cleaning license  in California.  

Most house cleaners do need to purchase liability insurance and a dishonesty bond.  It will help you get more business and protect your assets in case of an accident.  

A bond is a third party guarantee.  There are hundreds of different types of bonds.  A dishonesty bond is a guarantee from the bond company that you or your employees won't steal anything when you are working in peoples houses.  If a bond pays a claim the bond company will typically go after you for the money.  

Liability Insurance will protect you from any liability that might arise from you work, including bodily injury or property damage.  For example if you were to accidentally break someone's nice lamp while cleaning, your liability insurance would pay for a new lamo.  Unlike bonds, insurance companies will not come after you for the money if they have to pay a claim.