What does tradesman insurance cover?

What is tradesman insurance?

Because the definition of a tradesman, or tradesperson, is so broad, it can be difficult to know what insurance you need.

As a tradesperson, will you generally belong to a group of skilled workers such as builders, plumbers, electricians, carpenters, roofers, landscapers and many more, and are likely to use specialist tools and perhaps a van. You may be a sole trader or part of a small business.

Let’s look at some FAQs:

Do tradesmen need public liability insurance?

Public liability insurance is not a legal requirement, however A-Plan recommends public liability insurance for any business that is likely to come into contact with customers, suppliers, passers-by and any other member of the general public.

Injuries can be as simple as a trip over a cable, but compensation for these injuries runs into the thousands. Public liability insurance can cover the legal fees and compensation costs if your business is sued.

Although the risks between different trade occupations are different, one common risk is liability.

Do I need public liability insurance as a sole trader?

When considering this, consider whether you could afford to pay any compensation should a third party be injured, or property damaged, while going about your business.

If the answer is no, public liability can be an inexpensive way of covering yourself and protecting you business in the event of a claim. How much cover you need will depend on your business type and many can find themselves without the appropriate cover, which can prove a costly mistake in the long term.

A-Plan always recommends public liability insurance for sole traders, to protect against the threat of injuring third parties or damaging their property. We work with thousands of sole-traders and trade businesses, providing them with the right level of cover, so do speak to your local business branch to get this right from the start.

Do I have to have employers liability insurance?

Yes, this is a legal requirement if you have employees. It insures against injuries or damage caused as a result of your employees’ work. If you aren’t covered by employers liability insurance, your business could be at risk in the event of a claim.

Is employers liability the same as professional indemnity?

No. Professional indemnity insurance covers against claims of compensation made by a client if you have made a mistake, given the wrong advice or are found to have been negligent.

Employers liability insurance protects your business against injuries or damage caused by your employees.

What van insurance do I need?

Your job would be difficult without a vehicle. Vans are the easiest method of transport to bring people and necessary tools to the worksite, and commercial van insurance is required if your business operations include driving.

It is important to ensure that you obtain specialist commercial van insurance for business use, with many schemes available to suit your particular trade. Shockingly, many commercial van owners are not properly insured, and have completely inadequate cover, which could prove very costly in the event of a claim. And it’s also important to find a broker who will help you manage any claim so that you are left to focus on your business.

You should also consider adding breakdown cover to your van insurance policy so that you can call for help if your van breaks down when you’re out on a job.

As one of the UK’s largest van insurance brokers our team can answer any questions about this you may have.

Do I need insurance for work tools?

If you use tools as part of your job, then you will appreciate how much they cost and the impact to your livelihood and finances that would result if they were stolen. With theft on the increase, the trade is now more at risk of this type of crime than ever before.

Tools insurance can protect tools stored at your property or even overnight when left in your van. So if you know you would be unable to replace them at your own cost, tools insurance is certainly worth considering.

What is goods-in-transit cover?

If you carry goods – whether for a client, or to deliver your own goods, as a sole-trader or a larger business – your reputation is on the line.

Goods-in-transit cover insures you for damages and loss but you may be surprised it know that it is not simply about protecting the value of the goods you carry – it’s also about protecting yourself against the consequences of delays.

As goods-in-transit insurance comes in many shapes and sizes, it is important to speak to an expert to get the right advice for your business needs.

Liability insurance, van insurance, tool insurance and even goods in transit insurance cover is always tailored to your business type, so talking to an expert is key.

A-Plan’s business branches will be happy to run through this with you and answer any questions you may have, either in branch, or via telephone.