What insurance should a builder have?
A builder – whether working as a sole trader or running a Limited Company – may need a number of covers in place in order to meet their legal and contractual obligations – not to mention giving peace of mind that even if the worst was to happen, the business is protected.
Obviously, if you have any vehicles – trucks or vans, for example – that are used in the course of running your building business, they will need to be insured just like any other vehicle on the road. However, as they are commercial vehicles, they may need particular insurance allowing different drivers as well as cover for goods, tools and machinery while in transit.
If you have any staff working for the business – even just casual labour – you will need employers liability insurance by UK law.
Builders insurance cover should include protection from a range of potential risks and costs. It may be that you have a contract in place with a main contractor or the property owner. It’s likely that the contract will stipulate particular insurance requirements.
Builders liability insurance
Builders insurance cover should include protection from the costs of a number of potential liabilities. Typically, these will include public, employers and product liability cover. Liability insurance usually covers you for the cost of your legal defence as well as any pay out subsequently awarded as a result of a claim.
What is builders’ liability insurance?
Liability insurance for builders typically protects you and your business from costs in the event that someone – a member of the public, an employee or your client claim that something that you have done in your work has caused them injury, illness or to suffer a loss. Up to an agreed indemnity.
Builders Public Liability Insurance
Builders Public Liability Insurance is a type of builders’ liability insurance that covers the tradesman for claims arising from members of the public that they have been injured or otherwise suffered a loss as a result of the builders’ working activities.
Builders Employers’ Liability Insurance
As stated above, it’s a legal requirement in the UK to have Employers’ Liability in place where you have staff working for you. It’s especially important to make sure you have cover in place in the building trade, where it’s not unusual for builders to assume that they will automatically be covered by a main contractors insurance policy, or think that they don’t need cover in place for part time or casual labourers. In fact, where you have people working for you, even if not formal PAYE staff, you must have appropriate protection in place.
How much is builders insurance?
Without avoiding a direct answer, a builders insurance policy can vary hugely in cost. A basic tradesman policy for a sole trade brick layer, for example, is likely to cost just a couple of hundred pounds. Conversely, a policy suitable for a Limited Company, with numerous staff, vehicles and a range of plant, machinery and tools, is understandably going to cost more. The insurance cost is affected by things like your annual turnover, value of stock and equipment, as well as claims history. Speak with one of our broking team, who will be happy to take your details and review policy options from a number of insurers on your behalf. We can even recommend a policy that best suits your business.
Why choose Buckingham insurance brokers to arrange my builders insurance policy?
Buckingham Insurance Consultants has over 40 years experience arranging business insurance for those working in the construction sector. Our experience, coupled with our close working relationship with a number of leading UK insurers means we can find the right policy for your builders business.