Unless they actually work in the insurance industry, most people find insurance quite confusing. Roofing contractors know they need to have roofing contractor’s insurance to protect their business from unexpected losses, but because they’ve never had roofing contractor’s insurance explained to them, they don’t actually know what it covers or why they really need it.
The most important thing to know about roofing contractor’s insurance, is that the core cover is roofers public liability insurance. There are a number of different optional covers that can be added to tailor your roofing contractor’s insurance to your business needs.
What does public liability insurance cover?
Roofer’s Public liability insurance covers claims for compensation that are made against a business by a third party who has been injured or had their property damaged and believes that the business was to blame for their loss. It covers compensation that you are legally liable to pay rather than goodwill gestures.
It also covers the legal defence costs that are incurred in the defence of such claims. This is important because even if a claim made against a business isn’t valid, it usually costs money to defend the claims. In addition to paying for the defence costs, the insurance gives you access to the insurance company’s specialist claims handlers, so you don’t have to defend any claims yourself.
Our public liability insurance includes an extension covering claims made for purely financial losses and product liability insurance as standard. It also gives you access to a valuable business support website and a useful 24 hour telephone helpline that can assist you with legal and tax matters.
Employer’s liability insurance
This is an important optional cover if you employ anyone, even if you only employ them on a casual basis. It’s a legal requirement and you can be fined heavily if you trade without it.
It’s similar to public liability insurance in that it covers claims for compensation that are made against a business by someone who has been injured and believes that the business was to blame for their loss. However, it covers compensation claims made by employees rather than members of the public. It also covers the legal defense costs that are incurred in the defence of such claims.
Contract works insurance
Contract works insurance is another important optional cover. It covers your tools and equipment on site, as well as equipment that you have hired in and are responsible for, against accidental damage or losses due to theft.
It also covers your work in progress, although it doesn’t cover the existing structure and that should be covered by the owner of the property you are working on.
This type of insurance is particularly important because most roofing work takes place in the open which means that the risk of theft and damage as a result of a storm is increased.
Personal accident & sickness insurance
Many roofing contractors are self-employed and as such, they do not get sick pay if they are cannot work in the same way that conventional employees do.
Personal accident & sickness insurance pays a weekly sum if you are unable to work due to an injury or an illness. It also pays a lump sum if the injury or illness means that you are going to be unable to work on a permanent basis.