Why Insurance is Important for Tradespeople

Hands up who enjoys reading about insurance. Not one hand? No-one? Didn’t think so. Unless it’s absolutely relevant (or you’re looking for a remedy for insomnia) we don’t expect anyone to be reading this as a means of light entertainment (not with all 42 episodes of Stranger Things at our disposal). That being said, if you are looking at ways of financially protecting your business, your tools or your income with the right insurance, it’s vital to understand just how important insurance can be.

Tradesmen and women in the UK that operate on a self-employed basis are accepting financial risk every time they leave their house to go to work. The difference between a self-employed tradesperson and a trade who isn’t self-employed is simple. The self-employed work for themselves, either as a sole trader, a LTD Company or a partnership, and don’t answer to an employer. Sounds great right, working for yourself? That may be true in many respects (choosing the hours you work, the jobs you take on, how many breaks you take to check insta) but being self-employed also means that the buck stops with you. If you have an accident and cause damage to a customer’s property, guess who foots the bill? If your all-important tools are stolen from your van, guess who has to replace them? If you break your leg and can’t work for 6 months, guess who has to pay your mortgage? That’s right, it isn’t your employer, it’s you. Whether you're a builder, electrician or gardener, those risks can quickly turn into costly problems without the right insurance in place.

That’s where insurance comes in. Business insurance protects your finances in a number of instances where you’d otherwise be out of pocket.

• Public Liability Insurance helps cover the cost of accidental damage to third party property and even injury or death to members of the public. That means that if you cause accidental damage or an accident whilst on a job, your insurance will pay out should a claim be made against your business. Check out our guide here for a deep dive or view our Public Liability Insurance options here.

• Tools Insurance covers your vital tools in the event that they are stolen from your vehicle. Tool theft is an unfortunate risk to all UK tradespeople, but insuring against theft at least gives you peace of mind that if the worst happens, you won’t be left out of pocket. Tools insurance is available alongside an active Public Liability Insurance policy.

• Accident & Sickness Insurance means that if you have an accident or fall ill and can’t work, you can still be paid a wage that covers your essential household bills. Personal Accident Insurance pays out a lump-sum fee, whereas Income Protection Insurance pays out a monthly fee. Plus, you can hold both policies at the same time

Here at Rhino Trade Insurance, we offer a suite of business insurances tailored specifically for UK tradesmen and women. All insurances we offer are designed to give the policyholder peace of mind as well as useful financial protection in a whole range of eventualities.

We implore any self-employed tradesperson to take a look at the insurance policies available to them so next time you leave your house to go to a job, you are aware of the risks you are accepting, and you have considered insuring yourself against them. If you're unsure what you need, our team are available to talk Monday - Friday from 8am - 5:30pm. Give them a call on 0116 243 7904, or if you've figured it out what you need, grab yourself a quote.