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Last updated: 31/12/2025
As a builder, you face a range of risks on every job. From accidental property damage to injuries involving members of the public, unforeseen incidents can quickly lead to costly claims and legal issues that put your business at risk.
That's where Builders Public Liability Insurance comes into play. This essential cover provides protection against the unexpected, letting you concentrate on your work without needing to worry about 'what if?'.
What is Builders Public Liability Insurance?
Builders Public Liability Insurance is a specialised insurance policy designed to provide financial cover and protection for builders and construction professionals should they cause third-party property damage or injury to members of the public as a result of their work and be deemed at fault.
This cover ensures that builders and their businesses are protected from substantial financial liabilities and legal complications that may arise from such situations.
The primary purpose of Builders Public Liability Insurance is to nullify the risks linked to the construction industry. Builders face various potential hazards in their work, such as accidental property damage, injuries to third parties, or claims of negligence. These risks can lead to expensive legal proceedings, compensation payments, and property repair costs. Builders Public Liability Insurance helps builders manage these risks by providing the necessary financial protection. For more information, check out our Ultimate Guide to Public Liability Insurance.
What Does Builders Public Liability Insurance Cover?
Whilst cover can vary slightly depending on the policy, this type of insurance typically includes several key benefits, such as:
Third-Party Property Damage
Accidents happen, and unintentional property damage can occur while working on a construction site. Whether it’s a broken window, damaged flooring, or accidental structural damage, Builders Public Liability Insurance provides protection for the costs of repairs or replacements, protecting you from substantial financial liabilities.
Bodily Injury
There are always risks of accidents in the construction industry that can cause bodily harm to third parties. If a passerby, client, or member of the public gets injured on site or due to your construction activities, Builders Public Liability Insurance ensures that you are protected against legal claims and covers medical expenses, rehabilitation costs, and legal fees.
Legal Expenses
Builders Public Liability Insurance covers legal expenses associated with defending claims made against you. This includes costs such as hiring lawyers, expert witnesses, court fees, and other necessary legal services, allowing you to focus on your business while legal complexities are handled on your behalf.
Additional Cover
Tradesmen and women can take advantage of building a full suite of cover with Rhino Trade Insurance. Additional cover options include Employers’ Liability Insurance, Personal Accident Insurance, Income Protection, Tools Insurance, and more.
If you’re unsure what cover you need, our team is on hand throughout the week to talk through your options. Call us on 0116 243 7904.
What Doesn’t Builders Public Liability Insurance Cover?
Whilst Public Liability Insurance covers third-party property damage and injuries, there are some limitations, including:
Injuries to You or Your Employees
Public Liability Insurance does not cover injuries to yourself or your employees. If you have employees, Employers’ Liability Insurance is a legal requirement.
Damage to Your Own Tools or Equipment
Loss, theft, or damage to tools and equipment is not covered. A separate Tools Insurance policy is required.
Poor Workmanship or Faulty Work
Claims related to poor workmanship, design faults, or substandard work are not covered under Public Liability Insurance.
Intentional Damage
Any damage caused deliberately will not be covered under a Public Liability policy.
Unqualified or Uninsured Work
Claims arising from work you’re not trained, qualified, or insured to carry out are unlikely to be covered.
Why do I need Builders Public Liability Insurance?
Although not a legal requirement, construction work carries inherent risks. Without adequate cover, you or your business could be liable for substantial costs arising from accidents or damage deemed your fault.
- Risk Management: Transfers financial risk from accidents to the insurer.
- Client Confidence: Demonstrates professionalism and is often required for contracts.
- Financial Protection: Covers legal fees, compensation, and repair costs.
Is It a Legal Requirement in the UK?
Public Liability Insurance is not legally required for builders in the UK. However, many contracts require specific levels of cover, and failing to comply could lead to breaches of contract and financial penalties.
How Much Cover Do Builders Need?
Rhino offers Public Liability Insurance from £1 million up to £5 million. The amount required depends on the type of work you carry out and, if you're looking for contract works, the amount of cover required for those contracts. Local councils, for example, often require £2 million, while larger projects may require £5 million.
If you’re unsure how much cover you need, speak to our experts on 0116 243 7904.
How much is Builders Public Liability Insurance?
Cover with Rhino starts at £62.50 for £1 million of cover. However this is subject to change depending on:
- Your turnover
- The number of workers needed for cover (should you have employees, for example, legally you are required to have Employers Liability Insurance)
- The level of cover required
- The type of work carried out
Why Choose Rhino Trade Insurance?
Builders Public Liability Insurance is essential protection against unexpected incidents, legal claims, and financial liabilities. Rhino Trade Insurance specialises in cover for tradespeople, offering practical and tailored insurance solutions.
We were awarded Specialist Broker of the Year at the Insurance Times Awards 2022 and won Marketing Campaign of the Year in 2024. With over 4,000 five-star reviews, competitive pricing, and flexible cover options, you can trust us to protect your business.
Builders Public Liability Insurance FAQs
It is not a legal requirement, but it is often mandatory for contract work. Without it, your business would be responsible for property damage and third-party injuries.
Cover with Rhino starts at £62.50 including IPT for £1 million of cover. Prices vary depending on factors such as:
- Number of workers
- Annual turnover
- Level of cover required
- Type of work carried out
- Injury to third parties
- Damage to third-party property
- Legal defence costs and compensation claims
- Faulty workmanship
- Injuries to employees
- Theft or damage to tools
- Professional advice or design errors
Yes. It is suitable for self-employed builders, sole traders, and contractors.
Not legally, but most contractors will not hire subcontractors without it.
Yes. Our quote engine can provide a price in as little as 30 seconds, with cover able to start on the same day.
