What is builders’ insurance?
You don’t have to be a risk assessment officer to know that even the best run building site is full of potential dangers. From trip hazards to heavy machinery, there are many opportunities for injury or property damage to occur. And if you as a builder are found responsible, it can prove to be costly.
Builders’ insurance, which is an umbrella term to describe a wide range of insurance policies can help cover those costs, not only if an employee or client gets hurt, but also if your tools are damaged or stolen, or if work on your building site is disrupted. It may also make your clients feel more comfortable about working with you if they know you have the proper protection.
Professional indemnity insurance for builders
One of the types of cover you may consider is professional indemnity insurance for builders. This form of insurance is designed for times when a client might accuse you of negligent services or bad advice, which has caused them a financial loss. It would deal with the compensation costs and legal fees related to any claim made against you.
» COMPARE: Professional indemnity insurance
Builders’ public liability insurance
Another important policy is builders’ public liability insurance. If you have clients, visitors or members of the general public near your building site, they run the risk of injury. Meanwhile, their property can also easily be damaged, especially if you are working in someone’s home.
Public liability insurance would cover the compensation costs and legal fees if either injury, illness or property damage were caused by your work.
» COMPARE: Public liability insurance
Other types of builders’ insurance
It is not just clients and members of the public who would be protected by your builders’ insurance policy.
Own tools and equipment insurance would cover replacing the tools and equipment you own in the event they were stolen, lost or accidentally damaged. Hired-in plant tools and equipment insurance would do the same for any items you have hired or rented to complete your business activities.
If your worksite was damaged or destroyed during the building process, contract works cover would pay for replacing the materials and work lost, helping you get the project back to where it was before the disruption occurred.
Personal accident insurance, meanwhile, could compensate for loss of income if you were permanently disabled, or killed, as a result of an accident.
Other types of builders’ insurance
It is not just clients and members of the public who would be protected by your builders’ insurance policy.
Own tools and equipment insurance would cover replacing the tools and equipment you own in the event they were stolen, lost or accidentally damaged. Hired-in plant tools and equipment insurance would do the same for any items you have hired or rented to complete your business activities.
If your worksite was damaged or destroyed during the building process, contract works cover would pay for replacing the materials and work lost, helping you get the project back to where it was before the disruption occurred.
Personal accident insurance, meanwhile, could compensate for loss of income if you were permanently disabled, or killed, as a result of an accident.