Having the right contractor’s insurance not only demonstrates professionalism, but also your care and commitment to keeping your clients’ property safe. whether you are a plumber, carpenter or handyman; you could be making a big financial gamble by not having the right coverage.
So, what are the most important coverages to consider as a contractor? And how would they protect you if something unexpected happened?
civil liability insurance
Liability insurance ensures that you are protected against accidental damage to clients’ property and can also protect you financially against third-party injury claims that you or your business are believed to have caused.
business civil liability insurance
Employer liability insurance is required by law if you hire staff, even part-time or temporary. Site workers may be at increased risk of accidents due to the nature of the work they do, particularly when working with plants and machinery. Having this coverage can protect your business against financial exposure from personal injury claims by employees; insurers typically offer £10 million of standard protection.
You will need employers liability if you have an apprentice, or even if you have a volunteer working for your company. The only exception to this is if the employee is closely related to the owner and the business is not a limited partnership. Still, it would be wise to purchase employer liability insurance to cover you and your business.
contract works is insurance coverage that can help protect work in progress at the site you’ve been working on. Since construction work can often take place over a number of days, months, or sometimes years, there is a chance that something will happen to the works, materials, or equipment on site that could cause loss to your company. this could be a fire, flood, or vandalism potentially destroying the work already completed.
tool and equipment cover
You probably rely on a number of tools: hand tools, power tools, or equipment you use every day. Depending on the nature of your job, these can be quite expensive and difficult to replace. If your business equipment has any value, then you need tool insurance to protect it against the unexpected. tool theft can be particularly common; especially when left in commercial vehicles overnight. this coverage can often be added to your insurance policy, subject to certain security conditions.
personal accident coverage
Being self-employed has many advantages; but one of the downsides is that you are responsible for your own sick leave and pay. a day or two off may not have a huge financial impact, but if you break a limb and find yourself sprawled on the couch for a few weeks, your income could take a big hit. Personal accident coverage as part of your contractor’s insurance may offer a fixed amount to replace your weekly income in the event of injury. So if you’re a roofer or builder working on site or in any other high-risk trade, like window cleaning, you should consider including this coverage in your contractor’s insurance policy.
business legal expenses
No matter how careful you are, accidents happen and things can go wrong along the way. if you are brought to trial, the legal costs to defend yourself could add up quickly. business legal protection could take care of these costs and can also protect you against a number of other scenarios. For example, if you are subject to a tax or VAT investigation, these costs could be covered by your legal protection insurance. it can also help protect you against labor disputes and commercial lease disputes.
professional civil liability insurance
If you are an electrician or general tradesman, you may be providing designs or advice to your client in your professional capacity. If your client suffers a financial loss, you may be able to claim your loss, which may be covered by professional liability insurance
commercial vehicle insurance
Most contractors will use a van every day to get to and from work and transport their equipment. Regardless of the work you do, if you use your van for business purposes, then you need commercial vehicle insurance to protect you on the road.
compare contractor insurance
premierline can help you purchase insurance to protect you against a number of risks. You can compare contractors insurance quotes online.
If your needs are more complex, consider purchasing comprehensive insurance. our agents are available by phone to provide advice and recommendations on all your business insurance needs.