There is a wide range of different flooring specialities but, whatever a type of flooring a flooring contractor specialises in, the risks flooring contractors face are similar.
If you’re installing flooring that people are going to be walking on, there’s a risk that anyone who slips or trips will claim compensation from you because they feel that the flooring was at fault. This could result in a claim that ends up costing hundreds of thousands of pounds. Without insurance, a claim of that magnitude would make most businesses struggle and could even result in some businesses becoming bankrupt.
There are also the risks that every other business faces. Your employees could be injured. Your property could be damaged or stolen. Flooring contractor’s insurance gives you peace of mind because you know that, if something bad happens, you’ll be protected from the unexpected costs that arise.
What does flooring contractor’s insurance cover?
Flooring contractor’s insurance covers a range of risks.
Liability insurance protects you in the event that a member of the public or a client is injured, or their property is damaged.
Property insurance protects you in the event that your own property is damaged and personal accident & sickness insurance protects you in the event that you’re injured or fall ill.
Legal expenses insurance protects you if legal action is taken against you, and motor insurance – a legal requirement – protects you if you have an accident in a vehicle, or if your vehicle is damaged or stolen.
Liability insurance protects you if a compensation claim is made against you. As mentioned, compensation claims can be extremely expensive to settle, particularly when the associated legal costs are factored in, so this type of insurance is vital.
Employer’s liability insurance deals with compensation claims made by employees. Anyone who has employees is legally required to have employer’s liability insurance.
Public liability insurance deals with claims made by members of the public. It’s important to make sure this includes products liability insurance. Products liability insurance covers compensation claims arising from defective products that you’ve sold or supplied, and this would include any flooring you have laid. It’s also important to ensure that your public and products liability insurance contains a financial loss extension because, without that, claims for purely economic losses wouldn’t be covered.
You should make sure that your business premises and its contents, as well as your tools, equipment and materials, are insured so that in the event of accidental damage or loss due to theft, they can be repaired or replaced quickly to minimise the disruption to your business.
You should also make sure you have contract works insurance. This covers your property on work sites, as well as any hired-in equipment that you’re responsible for, and even your work-in-progress.
Personal accident & sickness insurance
This type of insurance replaces the income you would lose if you were unable to work because you’d been injured, or were off work due to an illness. It pays a weekly benefit while you recover or a lump sum if you won’t be able to return to work.
Legal expenses insurance
Legal expenses insurance covers your legal bill if legal action is taken against you for things such as customer/neighbour disputes, employee tribunals, criminal charges and tax/VAT inspections. Your legal expenses insurer will also help you deal with the legal action, so you won’t end up dealing with these things alone.