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Home Builders Insurance What Insurance Should Your Builder Have?

What Insurance Should Your Builder Have?

When hiring a builder for your home improvement project, it’s crucial to ensure they have the right insurance in place. A reputable builder will carry various types of business insurance to protect their business, their clients and the general public.

Here at Tradesman Saver, we cover builders and building companies of all shapes and sizes with specialist builders’ insurance – so we know just how important it is that any builder you choose has the right kind of insurance in-place. Whether you’re looking to hire a sole trader for a small domestic project, or a larger construction firm, make sure they are completely covered.

What Kinds of Insurance Should My Builder Have?

1. Public Liability Insurance

Perhaps the most important insurance for builders, public liability insurance covers compensation claims if a member of the public is injured or their property is damaged as a result of work carried out by the builder. For example, if a passerby is injured by falling debris from a building site, the builder’s public liability insurance would cover the cost of any compensation claims made.

While public liability insurance isn’t a legal requirement for builders in the UK, it’s a good idea for them to have this type of cover. Most builders’ insurance policies offer public liability cover of up to £5 million, which should be sufficient for most projects.

2. Employers’ Liability Insurance

If your builder employs any staff, including subcontractors or temporary workers, they are legally required to hold employers’ liability insurance. This type of insurance protects the builder if an employee is injured or falls ill as a result of their work.

Employers’ liability insurance is a legal requirement for most businesses in the UK, and builders can face hefty fines if they don’t have this cover in place. The minimum level of cover required is £5 million, but many builders opt for higher levels of cover.

3. Professional Indemnity Insurance

Professional indemnity insurance is another type of cover that builders might want to consider. This type of insurance covers the cost of compensation claims if a client suffers financial loss due to professional advice or services provided by the builder.

For example, if a builder designs an extension that doesn’t meet building regulations and the client has to pay to have the work redone, professional indemnity insurance would cover the cost of any compensation claims made.

4. Tools and Equipment Insurance

Builders rely on their tools and equipment to carry out their work, so it’s important to protect them in case they are damaged or stolen. Tools and equipment insurance, also known as all-risk cover, protects a builder’s tools and equipment both on-site and in transit.

Some builders’ insurance policies include tools and equipment cover as standard, while others offer it as an optional extra. It’s a good idea to ask your builder what level of cover they have for their tools and equipment.

5. Contract Works Insurance

Contract works insurance covers any work that is underway on a building site. This type of insurance protects the builder if the work is damaged or destroyed before it’s completed, for example, by fire, flood, or theft.

Contract works insurance covers the cost of repairing or redoing any damaged work, as well as any additional costs incurred as a result of the damage, such as hiring plant machinery.

6. Personal Accident Insurance

Personal accident insurance provides financial support if a builder is unable to work due to an injury or illness. This type of cover can help to cover lost income and other expenses while the builder is recovering.

Some builders’ insurance policies include personal accident cover as standard, while others offer it as an optional extra. It’s worth checking what level of cover your builder has in place.

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Why Insurance Matters When Hiring a Builder

When you hire a builder, you want to know that you’re protected in case anything goes wrong. If your builder doesn’t have the right insurance in place, you could be left facing significant financial losses if something goes wrong with the project.

For example, if your builder damages your property or injures someone while working on your project, you could be held liable if they don’t have public liability insurance. Similarly, if your builder goes out of business or disappears before completing the work, you could be left out of pocket if they don’t have contract work insurance.

By ensuring your builder has the right insurance in place, you can have peace of mind knowing that you’re protected in case anything goes wrong. It’s also worth checking that your own home insurance policy covers any building work being done on your property.

How to Check Your Builder’s Insurance

Before hiring a builder, it’s a good idea to ask for proof of their insurance. Most builders will be happy to provide you with copies of their insurance certificates, which will show the types and levels of cover they have in place.

You can also check with the builder’s insurance provider to confirm that their policies are up to date and provide adequate cover for your project. If you’re unsure about anything, it’s always best to seek professional advice from an insurance broker or your own home insurance provider.

Get Insured with Tradesman Saver

At Tradesman Saver, we specialise in providing insurance for builders and other tradespeople. Our builders’ insurance policies are designed to provide comprehensive cover at competitive prices, with options to suit businesses of all sizes.

Our standard builders’ insurance policies can include:

  • Public liability insurance up to £5 million
  • Employers’ liability insurance up to £10 million
  • Tools and equipment cover up to £10,000
  • Legal expenses cover up to £250,000

We also offer a range of optional extras, including professional indemnity insurance, contract works insurance, and personal accident cover.

Getting insured with Tradesman Saver is quick and easy. Simply get a quote online or over the phone, and we’ll tailor a policy to suit your needs. We offer flexible payment options, with the choice to pay annually or monthly, and our policies can be set up in just a few minutes.

Make Sure Your Builder is Covered with Tradesman Saver

When hiring a builder, it’s essential to ensure they have the right insurance in place. Public liability insurance, employers’ liability insurance, professional indemnity insurance, tools and equipment insurance, contract works insurance, and personal accident insurance are all types of cover that builders might need, depending on their specific circumstances.

By checking your builder’s insurance before hiring them, you can have peace of mind knowing that you’re protected in case anything goes wrong with the project. And if you’re a builder looking for comprehensive insurance cover at competitive prices, Tradesman Saver can help.

Get in touch with us today to discuss your insurance needs and get a quote. With Tradesman Saver, you can focus on what you do best, knowing that you’re fully protected.

Tradesman Talk

Are you a builder or contractor? What types of insurance do you have in place? Have you ever had to make a claim on your insurance? Share your experiences in the comments below.

And remember, for all your builders’ insurance needs, make sure it’s Tradesman Saver.

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