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Guide to tradesman insurance

September 26, 2011

For many small business people, whether they are plumbers, electricians, builders, or designers, the thought of being the recipient of an insurance claim for injury or property damage can be stressful.

Without adequate insurance cover, costly claims could even put your business at risk.

Fortunately, not only can you take out comprehensive cover against potential claims against your business, but this cover does not need to be expensive. Most “trades” can be covered with ease – for example builders, painter/decorators, carpenters, electricians, plumbers, heating engineers, gardeners and handymen.

Examples of potential insurance claims

1. You install underfloor heating at a retail premises, however faulty wiring causes a fire which damages thousands of pounds worth of stock and equipment.

2. You install a new boiler in a first floor office, which dislodges some old pipes and causes flooding to the retail premises below.

Claims such as these are routinely covered by tradesman insurance policies.

Tradesman insurance – what’s typically included?

The prime element of any tradesman insurance policy is public liability cover. This type of insurance will insure you against third party claims in the event that injury is caused, or property damaged as a result of your own actions. You would typically expect to take out cover to a value of at least £1m.

In addition to the public liability element, there are a number of other ‘bolt on’ extras you may well consider for your business.

How to get a quote

These would include employers’ liability insurance which would cover you in the event that an employee is injured while working for your business, as well as the associated costs and expenses which would arise from such a claim. You can usually obtain cover for up to £10m (a minimum of £5m is a legal requirement).

Most insurers will also offer Tools & Equipment cover, you can even take out tax protection and legal expenses protection with most insurance policies.

Try our insurance partner, Hiscox, for an instant online quote.

Other types of business insurance