As a contractor, no day or job is ever the same. Contractor’s insurance arranged by Insurance Choice Commercial is designed with that in mind and reflects the ever-changing industry and challenges you might face. Our insurance policies can be tailored to suit your needs and can cover your business from the unexpected.


Contractor insurance policies can include cover for:


  • Negligence

  • Public liability cover

  • Professional indemnity insurance

  • Employers’ liability

  • Business insurance cover

  • Buildings insurance

  • Contents insurance

  • Business interruption cover



Key takeaways

  • Contractor insurance provides financial protection against potential risks and liabilities during work.

  • Contractor insurance safeguards assets, ensures business operations can continue, and enhances credibility and trustworthiness.

  • Types of coverage offered include public liability insurance, employers' liability insurance, professional indemnity insurance, tools and equipment insurance, and business interruption insurance.



Importance of Contractor Insurance

In the world of contracting, anything can happen. Whether it's accidental property damage or an unexpected injury on site, the risk involved is substantial. Contractor insurance not only covers property damages but also personal injuries and legal liabilities. Without insurance, you might directly bear the brunt of these costs, which could be catastrophic for your business.


Furthermore, having contractor insurance often enhances your credibility in the industry. It shows prospective clients that you are a professional who takes potential risks seriously and is prepared to handle any mishaps responsibly. So, it's not just about financial protection, but it also plays a pivotal role in building trust and establishing a solid reputation in your field.



Types of coverage offered

To understand contractor insurance, it is important to be aware of the various types of coverage available.


Here are the different types of coverage offered:


  1. Public Liability Insurance: This coverage protects you against claims made by third parties for injury or property damage caused by your work.

  2. Employers' Liability Insurance: If you have employees, this coverage is compulsory and protects you against claims made by your employees for work-related injuries or illnesses.

  3. Professional Indemnity Insurance: This coverage is essential for contractors who provide professional advice or services.

  4. Tools and Equipment Insurance: This coverage protects your tools and equipment against theft, loss, or damage.


While these types of coverage can offer valuable protection, it is important to review the specific exclusions and limitations of your policy. Understanding the claims process and any restrictions will ensure you have the right coverage for your needs.



Public liability insurance explained

Public liability insurance is an essential aspect of contractor insurance. It provides coverage for accidents or injuries that may occur while working on a project, protecting both the contractor and their clients.


Public liability insurance is not a legal requirement for contractors, but may be necessary for some contracts.



Coverage for accidents

One aspect of contractor insurance that you should be aware of is the coverage for accidents. Accidents can happen unexpectedly on a construction site, and having the public liability insurance coverage should be considered by contractors.


Here are three key points to understand about accidents coverage in contractor insurance:

  1. Property damage coverage: Accidents can also result in damage to property, such as equipment, materials, or nearby structures.

  2. Legal defence: In the event of a lawsuit resulting from an accident, liability insurance can provide coverage for legal defence, including lawyer fees and court costs.

  3. Peace of mind: Having comprehensive accidents coverage under your contractor insurance policy gives you peace of mind, knowing that you are protected financially in case of any unforeseen accidents.


Understanding the importance and coverage of accidents under liability insurance is essential for contractors to ensure they are adequately protected in their line of work.



Ensuring proper coverage offers different liability insurance options is worth considering for contractors. As a contractor, you have specific legal obligations and responsibilities that you must meet to protect yourself, your clients, and the public.


Public liability insurance provides coverage for damages or injuries that may occur as a result of your work but is not a legal requirement. It is designed to protect you financially in case of accidents, property damage, or personal injury claims. Employers liability is a legal requirement however.



Understanding Professional Indemnity Insurance

Professional indemnity insurance covers legal costs and expenses incurred in your defence, as well as any legal and compensation costs that may be awarded if you're alleged to have provided inadequate advice, services or designs that cause your client to lose money.



Factors to consider when choosing Contractor Insurance

There are several factors to consider when selecting the right coverage options for your contractor insurance.

  • Assess the nature of your work and the potential risks involved.

  • Consider the level of coverage you require.

  • You should also evaluate the reputation of the insurance provider.



How to obtain Contractor Insurance

To obtain contractor insurance, you need to be aware of the coverage options available and understand the insurance application process. When it comes to coverage options, you can choose from various types of insurance, such as professional indemnity, public liability, and employers' liability.


To apply for contractor insurance, you will typically need to provide information about your business activities, the level of coverage you require, and any previous claims or incidents.



Coverage options available

You can easily obtain contractor insurance by exploring the various coverage options available. To help you navigate through the different choices, here is a list of coverage options you can consider:


  1. Public Liability Insurance: This coverage protects you against claims made by third parties for injury or property damage caused by your business activities.

  2. Professional Indemnity Insurance: This coverage is essential if you provide professional advice or services.

  3. Employers' Liability Insurance: If you have employees, this coverage is mandatory. It protects you against claims for injury or illness suffered by your employees due to work-related activities.

  4. Tools and Equipment Insurance: This coverage protects your tools and equipment against loss, theft, or damage.



What is Contracts Works cover?

Contract works cover is an essential tool that protects contractors against the myriad of risks they face in their daily professional lives. Damages can occur due to natural disasters like floods, storms, or earthquakes. Accidents can take place, such as fire or theft.


Contract works cover provides a financial safety net for these situations. It can cover the cost of repairing or re-doing work that's been damaged, as well as replacing materials or tools that have been stolen from the site.


It can even cover the hiring of additional labour or equipment needed to complete the project on time after a setback. In essence, contract works cover is your financial bodyguard, stepping in to take the hit when unexpected costs threaten to derail your project. It's an indispensable part of risk management for anyone in the construction industry.



Frequently asked questions



In case of a lawsuit, contractor insurance provides coverage can for legal fees and defence costs. It also offers insurance coverage for accidents and negligence, ensuring protection for contractors like you.


Can I add additional coverage options to my contractor insurance policy, such as employer's liability insurance or personal accident insurance?

Yes, you can add additional coverage options to your contractor insurance policy, such as employer's liability insurance or personal accident insurance. These options provide benefits like coverage for workplace injuries and legal protection.


Why Choose Insurance Choice Commercial?

At Insurance Choice Commercial, we’ve been arranging competitive specialist insurance for over 20 years, specialising in tailoring leisure insurance policies to meet your individual or business’ requirements. We can also offer flexible payment solutions, including spreading the cost of your insurance in monthly instalments.


It couldn’t be simpler to get a quote with us, simply call 01384 429900 now, or fill in the form below, and we’ll call you back.


*All features and benefits are subject to eligibility and underwriting criteria.


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