Tradesman and Contractors Insurance

Tradesman and Contractors Insurance

If you are a tradesman then insurance is essential to your business. Due to the nature of your work, it is likely that, whether through your fault or not, things could go wrong (For example, damage occurring to a client’s property, or your tools being lost or stolen), and a tailored tradesman and contractors insurance programme could provide you with levels of protection against a range of risks.

A robust risk management and insurance programme can help your trades business to respond quickly, maintain continuity and manage your reputation.

Find out how The Yorkshire Broker can help you to manage any potential risks and protect your staff, customers, buildings and equipment within a comprehensive insurance solution.

Types of insurance cover your trades business may require

Insurance programmes for trades businesses would typically include a combination of the following cover:

  • Public liability insurance: Tradesmen and contractors are likely to work near other people and their property. Public liability insurance for self-employed tradesman will help to ensure that you’re covered against potential claims, offering protection if your business activities kill or injure a third party (non-employee) or damage their property.
  • Product liability insurance: If a product that you have supplied, manufactured, adapted or imported has caused damage or injury to people or property, this will provide cover for any financial losses.
  • Employers’ liability insurance: This is a compulsory type of insurance for employers, regardless of whether the member of staff is permanent, temporary, volunteer, contractor or freelancer. The minimum level of protection is £5m, which will cover the cost of compensation claims if staff get injured or fall ill as a result of carrying out their required duties.
  • Contractors all risk (CAR) insurance: If damage occurs to site materials and works that you have been contracted to undertake, CAR insurance (also known as contract works insurance) will provide protection.
  • Professional indemnity insurance: If your work causes a problem for your client (for example if a construction project is delayed) or you have given negligent advice, this will ensure that you are covered if your client makes a claim against you. Some clients also require construction businesses to have a certain level of cover in place before they start work on a project, so it is worth checking this before you start work.
  • Structural warranty: If your construction business is responsible for building or buying new buildings, then a structural warranty also know as latent defects insurance will provide you with 10 years’ worth of protection. This includes cover for latent defects that occur during the build period, but which are not discovered until after completion has taken place and is also known as latent defects insurance.
  • Tools insurance: Provides cover for the things that your business needs to operate, such as mechanical equipment, tools and materials.
  • Tools in transit: Provides cover for Cover for damage -in the event that tools are damaged whilst being loaded onto, housed upon or unloaded from the vehicle, cover for Theft -you may be covered in the event of your tools being stolen, even when your vehicle is unattended and overnight.
  • Plant and machinery insurance: If you use plant and machinery on site (such as diggers, cherry pickers or generators), regardless of whether you own the equipment or you’ve hired it, this will help to cover the replacement or repair costs in the event that it is stolen or damaged.
  • Personal accident insurance: This type of cover will provide financial protection in the event of accidental injury or death on site.
  • Legal Expenses: Cover in the event of employment disputes, legal defence costs, contract disputes, Tax, VAT, PAYE and NIC investigations and more.
  • Van insurance: Do you use a van as part of your work? Then you will need to ensure that you have the correct amount of van insurance in place to cover you whilst driving it.
  • Performance Bond: Also known as a contract bond provides cover against failure of a third party to meet obligations of the contract.

These are just examples of some of the types of tradesman insurance policies that we look after at The Yorkshire Broker

What insurance do I need for my trades business?

If you are responsible for the running of a trades business of any kind you should consider taking out a tailored insurance programme. The wide variety of risks to both the staff and customers create the need for an insurance solution that provides comprehensive protection.

We know that no two trades businesses are the same, so speak to us today to find out which policies will best meet your needs.

The cost of trades insurance

The combined premiums that you will pay for your trades business insurance programme depends on the level of cover that you need and the breadth of risk that your business is exposed to.

It is crucial to ensure that you are properly protected in the event of an incident occurring. With that in mind, at The Yorkshire Broker we will take the time to understand the specific needs of your business and recommend the amount of cover that is best suited to you.

Importantly, we work tirelessly on your behalf to present your business to potential insurers as accurately as possible so that premiums are completely appropriate to your risk exposure.

What else do I need to know about tradesman insurance?

There might be some exclusions that won’t be covered by your tradesman insurance policy.

These could include:

  • General wear and tear: The normal deterioration of your equipment through everyday use is unlikely to be covered by your tradesman insurance policy.
  • Security features: If your policy specifies that you need to have certain security features in place (such as locks), your policy may be void in the event of any claims for damage, theft or loss should you not comply with these requirements.
  • Limits for single items: Some policies may have single items limits, and if you have already made a claim for an item of equipment then you may not be able to make further claims.
  • Irresponsible behaviour: If any injuries have occurred due to the use of alcohol or drugs whilst working, you might not be able to make a claim.

To ensure that you have a clear idea of what is and isn’t covered by your tradesman insurance policy, make sure you take the time to read your policy documents properly in order to avoid any nasty surprises.

Insuring your trades business

The Yorkshire Broker is well placed to provide you with the professional support to review your current insurance programme and assess where you might be at risk from underinsurance, or even paying for excessive cover.

We understand that trades businesses face unique risks and challenges on a day-to-day basis, and that you need bespoke insurance that works for you and gives you the level of cover that is appropriate to the risks that you face.

Give your business the protection that it deserves today – if you want to find out how much peace of mind costs, contact The Yorkshire Broker by calling: 01924 929070.

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