Construction is a dangerous industry, and as a builder, you’ll want to protect yourself and the public if something goes wrong. If someone makes a claim against you, the public liability insurance offers you protection, which includes all legal costs and compensation you may have to pay.
For businesses in the UK, this type of insurance isn’t currently a legal requirement. However, the impact of not having it and someone claiming against you could be hugely detrimental to your business. Even with the most stringent safety processes, accidents could happen. Public liability insurance can provide the following benefits:
- Be a critical requirement for potential customers, who will refuse to hire a company without the insurance. Customers like the peace of mind that construction companies are insured for unexpected events. Local authorities, for example, usually request a minimum cover of £ 5 million before you can bid for their work.
- Subcontractors without public liability insurance could possibly be missing access to lucrative contracts from those who believe it is vital and will not work with you unless you have the cover.
There are many situations when builders may find themselves facing claims. As an example:
If members of the public are injured or even killed as a result of your work. This could occur if equipment is left on the street and someone trips over it, for example.
If the work you are doing should damage someone else’s property, such as putting a ladder through a window or scratching someone’s car. For Contractors Insurance Bath, visit a site like Mark Richard, a supplier of Contractors Insurance Bath.
Even the smallest construction companies will have a huge array of tools and equipment, which would be costly to replace if they are stolen or damaged. This means it’s important to find a sufficient insurance policy that will ensure you are protected should any loss or damage occur to your vital equipment. If you carry your tools in your van, you should also make sure they are insured by your commercial van insurance.
If you use employ anyone other than yourself and family members, then you should also consider employer liability insurance. It is also a legal requirement if you hire someone. This type of insurance covers an employer for any compensation claims made, such as if an employee suffers an injury or illness due to working for you.
Each year, about 80,000 construction workers in the UK suffer from diseases they believe are caused or exacerbated by their work – so this type of cover makes sense. With 30 fatal injuries to workers and 64,000 non-fatal injuries to workers a year, to protect the financial future of your business is paramount. Once your policy is in place, you have to keep up with health and safety requirements or you may invalidate your cover.