How Much Does Snowplow Insurance in Canada Cost?

Among the snowiest regions, FA predicts eastern Newfoundland and Labrador will get multiple nor’easters and blizzards, especially in late January and February. Southern and eastern Ontario will see frequent snowstorms, lake-effect snow, and icy conditions. Alberta Clippers will bring whiteouts and blizzard conditions across the Prairies, and interior B.C. will experience heavy snowfall, particularly in regions at higher elevations.

Liability insurance for the snow and ice removal business is considered high-risk. One reason insurance rates for snow removal businesses are high is due to the surge of slip-and-fall claims, lawsuits in recent years, and inflation. The good news is Zensurance can beat the market and get the affordable coverage your snow removal business needs.

According to the Canadian Institute for Health Information, unintentional falls remain the most common cause of hospitalizations and emergency department visits for injury and trauma, with over 650,000 emergency room visits reported by individuals injured after an unintentional fall.

When signing snow removal contracts, property managers and landlords tend to deflect liability for slip-and-fall incidents on their properties to their snow removal company through a ‘hold harmless’ clause in their contracts. 

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That means that the responsibility of slip-and-fall accidents is placed on snow removal operators to pay for the damages if someone slips, falls, and suffers an injury, or if a customer’s property is damaged.

How Much Does Snow Removal Insurance Cost in Canada?

What a snow removal insurance policy will cost you depends on several factors about your operations that insurance providers weigh. Those factors include:

• The size of your snowplow business. A larger snow removal company with multiple vehicles and equipment suggests you’ve got a significant customer list. More jobs equals more risk.
• Your annual revenue. Like the size of your business, the more your organization earns, the greater the risk of liability claims.
• Years of experience. The more experience you have as a snow removal contractor works in your favour versus someone starting a snow removal business.
• The location of your snow removal operations. Canada may be regarded as the land of ice and snow, but some regions experience more frequent and higher snowfall amounts than others. Therefore, if you operate in a municipality that gets dumped on regularly throughout the winter months, it is likely to increase your premium.
• The types of snow removal contracts you have. It’s not just how many customers you have, but what kind of customers, that is an influencing factor.
  
  For instance, the cost of insurance for providing snow and ice removal operations at residential properties does not cost as much as doing the same work for large, commercial properties, like a parking lot of a big box retail outlet or a midsized commercial property like coffee shop lots and drive-thrus.
• How many employees you have. The more employees you have, or if you subcontract out your snow removal services, the greater the chance of an accident or a liability claim against you occurring.
• Your insurance claim history. If yours is a claims-free snow removal business for more than six years, you may be less of a risk to insurers, which may help keep your premium low. Once you have a claim, it can impact your premium.

Different insurance companies charge different premiums. Generally, you can anticipate a premium starting at $2,500 per year for a basic commercial general liability policy with a $1 million coverage limit for a business with a truck and plow that’s located outside of Ontario. For Ontario-based contractors, the premium may start at approximately $3,800 per year.

If you are a handyperson, and you shovel or use a snowplow on residential driveways and paths, then you might be able to get insurance for $1,800 per year.

What Liability Risks Do Snow Removal Contractors Face?

There are several liability risks snow removal contractors face, including:

• Slip and fall accidents that lead to third-party bodily injury claims
• Damage to your customers’ properties caused by the plows, snow blowers, and shovels you use
• Environmental damages arising from the use of road salt and de-icing chemicals that harm vegetation or contaminate water sources
• Traffic accidents in parking lots or on public or private roads while operating a snow removal plow 
• Failing to fulfill contractual obligations with customers
• Operating a snow removal business without insurance or with inadequate coverage

What Does Snow Removal Liability Insurance Include?

Our brokers customize every insurance policy provided by Zensurance to meet the specific requirements of our clients. However, a typical snow removal insurance policy may include the following coverages:

• General liability insurance to cover third-party bodily injury or property damage claims.

• Commercial auto insurance to cover the cost of traffic accidents involving your business vehicles, including winter service vehicles and snowplows.

• Tools and equipment insurance to protect your transportable tools if damaged by fire, water, a natural disaster, vandalism or if they’re stolen.

• Equipment breakdown insurance to pay for repair costs to your snow removal equipment because of mechanical or electrical malfunctions.

• Pollution liability insurance to cover risks and environmental liabilities resulting from your operations.

• Legal expense insurance to pay to hire an experienced lawyer to manage typical business requirements, like writing and reviewing customer contracts, or covering the cost of retaining legal counsel if facing a lawsuit.

6 Ways to Avoid Snow Removal Insurance Claims

Here are six ways to help keep your snow removal insurance premium as low as possible:

1. Document Your Work (Keeping Accurate Records)

Complete pre-site inspections to assess where there may be existing damage. Take before and after photos and videos of every snow removal job you do. Keep a logbook on hand to accurately detail your work and when.

2. Identify Potential Hazards Before Plowing

Identify, assess, and minimize potential dangers on the properties you’re clearing. Since slip-and-fall claims are common, strive to reduce the risk of them happening, particularly on properties or in areas such as public sidewalks and parking lots with significant pedestrian traffic.

3. Advise Your Clients

Preventing slip-and-fall injuries is paramount. Help your clients help you by working together to prioritize taking preventative measures on their properties.

For example, provide them with a checklist of things to do to protect their customers and employees or residents, such as ensuring employees wear appropriate footwear for winter conditions, providing adequate lighting and walkway markings in parking lots and sidewalks, and using secure mats indoors and cleaning up wet areas inside and placing wet floor signs in those areas.

4. Maintain Your Vehicles and Equipment

Be proactive in performing necessary maintenance of all snowplow vehicles and equipment. Invest in a defensive driving program for snowplow operators. Also, store your vehicles and equipment in a secure compound to prevent the likelihood of theft or vandalism.

5. Hire Experienced Operators and Train Your Employees

Hire experienced snow removal operators when possible and train your employees on the equipment they’ll use, whether veterans or newcomers. Also, have employees take a defensive driving course for driving in winter weather, and perform auto experience checks on new drivers.

6. Get It in Writing

Consult a lawyer to help write clearly defined customer contracts to ensure you’re not exposing yourself to more liability risk than your insurer will accept.

Frequently Asked Questions About Snow Removal Insurance in Canada

Do I need snow removal insurance if I only do residential driveways?

Yes. Even small residential snow removal jobs may expose you to slip-and-fall liability claims, especially on private property.

How can snow removal contractors reduce their insurance premiums?

Snowplow operators and contactors can take several actions to keep their annual premiums as low as possible, including performing regular maintenance on vehicles and equipment, keeping detailed service records, and ensuring all snow removal operators have been trained on defensive driving techniques.

Is snow removal insurance mandatory in Canada?

Although snow removal insurance may not be legally required, most municipalities, property managers, and your commercial clients will want to see proof of liability insurance before awarding you a contract. Some provinces may require your operations to carry $2 million of coverage to bid on contracts.

Get Low-Cost Snow Removal Insurance In Just a Few Clicks

Your best option for finding low-cost snow removal insurance quotes is to partner with a broker to shop the market to find the coverage you need from several insurers. 

Zensurance has more than 50 Canadian insurance providers in our network, giving our brokers (and you) an edge in getting covered. Moreover, we’re proud to serve hundreds of thousands of Canadian small business owners nationwide across hundreds of industries, including snow removal operations.

Fill out an online application to get a free quote. Our licensed brokers can advise you on what coverages to include in your policy and the coverage limits you’ll need to offset your business’s risks.

– Updated October 31, 2025.