What is tradesman insurance?

Tradesman insurance isn’t just one policy – it’s several! 

‘Tradesman insurance’ is just the umbrella term for the various policies which tradesmen need to stay protected.

These policies help keep tradespeople safe from the common pitfalls of both:

1. Being self-employed
2. Working in a hazardous industry

Basically, tradesmen insurance is cover that every tradesperson should have. From Personal Accident Insurance to tool cover, tradesmen insurance will make sure that if something happens to you, someone around you, or anyone’s property, you’re back on the tools when you’re ready – without being hit financially.

 

What does tradesman insurance cover?

Tradesman insurance will cover practically any situation where a tradesperson could potentially lose out financially as a result of their business operations.

Self-employed tradespeople don’t have the luxury of sick pay, or insurance for mistakes, or free replacement for lost or damaged items, or financial protection if they accidentally damage property while they’re working. They’re also completely on their own when it comes to their tax affairs.

Tradesman insurance has been designed to cover these situations.

Some of the most common things tradesman insurance covers include:

Injury to customers or the public – this is covered by Public Liability Insurance, which will protect you if there is damage, injury or accidental death to a member of the public or client in the course of your business and a claim is brought against you.

Accidents and injury to yourself – this is where Personal Accident Insurance comes in. This covers you financially if you have an accident and are unable to work. 

Loss of income – all tradespeople would benefit from Income Protection Insurance, which is similar to Personal Accident Insurance and pays out if you fall ill and can’t earn your living. 

Tool theft or damage – a tradesperson can’t work without the right tools, which is why you’ll need Tools in Transit Insurance. This insurance will protect the tools of your trade, whatever they may be. 

Professional mistakes – blunders can happen to even the finest tradesperson, and they can be expensive. Professional Indemnity Insurance covers you financially if a customer makes a claim for a mistake of yours they’ve had to rectify. 

An employee getting hurt – if you’re one of the many tradespeople who hires staff, Employer’s Liability Insurance is a must. If an employee brings a claim against you, it’ll cover the associated costs.

Tax enquiries – when you’re self-employed as a contractor, it’s always possible that the taxman will come knocking to assess your tax situation, especially in light of IR35 reforms. This can be expensive, but Tax Enquiry Insurance will cover the cost of your defence.

All risks – if you’re a contractor, those expensive materials and partially-built works are vulnerable until the job is complete. Contractors All Risks Insurance covers your build until completion – and will put a stop to any worry about fire, flood, vandalism or theft.

 

How much does tradesman insurance cost?

This depends on which policy you’re taking out.

Remember, tradesmen insurance isn’t just one single policy, it’s several.

Your quote will depend upon a few different factors, such as the size of your business, how many employees you have and the nature of your trade.

Rhino Trade Insurance are proud to offer some of the absolute lowest prices on the market. Not only are our premiums low, but so are our excesses. Further, we don’t charge sneaky fees like most other insurance providers do, such as monthly fees in order to spread your premium cost with 12 payments over the year. With Rhino, you can choose to pay annually – we don’t mind and won’t apply penalties whichever method you choose.

Rhino are honest and transparent about our pricing, with an accurate quote for your business just a couple of minutes away via our quick quote engine.

 

Do I need personal accident cover?

If you’re self-employed – especially in a risky trades industry – it’s always sensible to cover yourself in case you have an accident and are unable to work. 

Think about it, you don’t get sick pay if you work for yourself. You won’t be able to earn during your recovery period should an accident leave you unable to carry out your duties.

Personal Accident Insurance will pay out a lump sum to keep your costs covered – anything from your mortgage and bills to business expenses – while you get back on your feet.

Rhino’s Personal Accident cover is simply the best around. We believe no tradesperson should be without it.

 

Will the main contractor's insurance cover me?

If you’re a bona-fide sub-contractor, you can’t be sure that a contractor you’re working for has insurance which extends to you, too.

The only policy you’re likely to come under is their Employer’s Liability Insurance, as this is designed to cover employees including subcontractors. 

In some cases, a main contractor’s Public Liability Insurance covers subcontractors, but you should always check that it is for the correct level of cover that’s stipulated in your contract. Often, it’s a condition of trade contracts that you have your own insurance.

Regardless of whether it’s a condition of the contract or not, potential customers and contractors generally prefer a tradesperson with robust insurance in place, as it minimises risk from their end. 

 

Do I need employers’ liability insurance?

If you employ anyone at all in your business, the answer is yes. Employer’s Liability Insurance is a legal requirement for any employer in the UK, whether you have permanent staff, sub-contractors or apprentices. 

It’s pretty handy. This insurance covers you if someone you employ gets sick or injured because of the work they’re doing for you.

You can incur a £2,500 per day fine for each day you’re not covered by Employer’s Liability Insurance, so it’s not an option to go without. 

 

What level of cover do I need?

It depends on the type of insurance, as well as a few other factors.

Employer’s Liability Insurance, for example, has a government-mandated minimum cover level of £5 million.

Often, it will be a requirement of a trade contract that you have Public Liability Insurance, with cover ranging from £1 million to £5 million.

The level of insurance cover (whatever the type of insurance) you actually need depends on a few things including the size of your business, as well as the type of activities you carry out. As a general rule, the riskier the operations and the larger the business, the more cover you’ll need.

 

Can I include other trades with my cover?

You can with Rhino. This isn’t an option with many trade insurers, but as you may have already guessed, Rhino are different.

We know that many tradespeople are multi-skilled, and don’t just stop at one area of expertise. This is why we allow our customers to combine their cover if they have more than one trade.

Using our quick quote engine, you can specify which trades you’re in and build a menu of cover with everything you want and nothing you don’t – just like ordering a takeaway (but instead of delicious food, you’re getting delicious insurance cover).

 

How do claims work?

Claims are simple with Rhino. We don’t make our customers jump through hoops when it’s time to make a claim.

You should notify Rhino of any claim or potential claim as soon as possible, quoting your policy number. You can do this in one of three ways – by telephone, email or post.

Include all key information about your claim, including dates, times and any supporting evidence. Depending on the type of insurance, this could be things like a police crime number, doctor’s note or tool receipt. You’ll receive further instructions on how to make a claim on your particular policy when you take out your cover.

From there, the relevant insurer will quickly process your claim and get you back up and running as quickly as possible.