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Insurance For Builders
Last updated: 13/01/2026
There are around 100,000 self-employed builders operating across the UK, all of whom face risks that make having the right insurance essential. Whether you’re working as a contractor or subcontractor, operating without suitable cover can leave your business exposed if something goes wrong.
Rhino is an award-winning specialist insurance provider for tradespeople. Here we explain why Builders Insurance is so important and outline the different types of cover available to help keep your building business properly protected.
What is Builders Insurance?
Builder’s insurance protects you and your company from a range of risks and liabilities related to the work you do. It allows self-employed builders to work with confidence, knowing they are safeguarded against unexpected setbacks. Whether you accidentally injure a member of the public, damage property or your business faces a tax enquiry from HMRC – Rhino has a suite of policies to protect your business.
With Rhino’s options, builders can focus on their craft without worrying about the financial impacts of accidents or claims.
How much is Builders Insurance?
Rhino offers insurance designed to suit the day-to-day risks builders face. With Builders Public Liability Insurance starting at £8.07 a month, policies are designed to give peace of mind without worrying about potential mishaps.
Building jobs vary widely in size and risk. Factors that affect your insurance requirements include:
The size of your building business
The type of jobs you undertake
Whether you employ staff
The limits of indemnity you choose
Whether you want cover for tool theft, legal expenses, etc.
Because no two building businesses are the same, Rhino allows you to build a personalised insurance package, combining low-cost trade insurance options that suit your work and your level of risk.
Why do I need Builders Insurance?
Accidents can occur regardless of experience. Without the right insurance, you or your company would be responsible for any costs. Rhino aims to keep insurance simple and affordable, providing the best possible cover for tradespeople across the country. With Rhino, you get tailored insurance and support, whether you’re working alone or managing a team.
What insurance do Builders need?
The insurance a builder needs depends on the type of work they carry out, whether they employ staff and the level of risk involved in their projects. However, there are a few core policies that most builders should strongly consider.
Public Liability Insurance is the foundation of Builders Insurance. It protects you if your work causes injury to a third party or damage to their property, such as a customer, neighbour or member of the public. Many clients and contractors will expect you to have this cover in place before work begins.
If you employ anyone - even on a casual, temporary or work-experience basis - Employers’ Liability Insurance is a legal requirement. It covers claims from employees who are injured or become ill as a result of working for your business, as well as protecting your business if employees bring a claim against you alleging professional negligence.
This cover protects numerous potential risks, such as protecting building works in progress, materials and equipment on site against loss or damage, as well as being able to cover owned or hired plant and machinery that your business may use. It’s particularly useful for larger projects or jobs where materials and equipment are left on site.
Builders rely heavily on tools and equipment. Tools Insurance will reimburse you in the event of theft, loss or damage to the tools stored in your vehicle, including tools stored in your vehicle overnight (subject to policy conditions).
Legal disputes can arise unexpectedly in the building trade - whether it’s a client who hasn’t paid your invoice, an employment issue, or a health and safety prosecution case against your business. Legal Expenses Insurance helps protect your business from the high costs associated with resolving these situations.
This cover can help with legal fees and expenses if you need professional legal support, including employment matters, debt recovery or health and safety issues (subject to policy terms).
Without Legal Expenses Insurance, the cost of solicitors, legal representation and court fees could quickly escalate and put pressure on your business finances. With the right cover in place, you can access expert legal support and focus on keeping your projects on track.
Tax enquiries can happen unexpectedly, even when you believe your accounts are in order. If HMRC decides to investigate your business finances, the process can be time-consuming, stressful and expensive.
Tax Enquiry Insurance helps cover the professional fees associated with an HMRC investigation, including the cost of accountants and specialist advisers. This support can be invaluable if HMRC questions your tax return, VAT submissions or business records.
Without this cover, you’d be responsible for paying these costs yourself - even if no wrongdoing is found. With Tax Enquiry Insurance in place, you can access expert support and focus on running your building business while the enquiry is handled.
If you’re self-employed, these policies can provide financial support if you’re injured or unable to work. Personal Accident Insurance offers a tax-free lump sum if you suffer an injury as a result of an accident, inside or outside of work, while Income Protection provides regular monthly payments if you are signed off work due to sickness, disease, or injury.
Every building business is different, which is why Rhino allows you to tailor your cover to suit your work. If you’re unsure what insurance you need, our team are happy to talk through your business and help you choose the right level of protection - just give us a call on 0116 243 7904.
Modern building businesses rely heavily on technology, from smartphones and tablets used for quotes and plans, to laptops storing important documents and customer details.
Gadget Insurance provides cover if your devices are accidentally damaged, lost or stolen. This helps minimise disruption to your work and personal life if a key device is damaged on site or goes missing while you’re on the move.
Without Gadget Insurance, replacing expensive devices at short notice can be costly and disruptive. With the right cover in place, you can get back up and running quickly without the financial strain.
What doesn't Builders Insurance cover?
While Builders Insurance provides broad protection for many of the risks you face on site, it doesn’t cover every situation. Certain exclusions apply across most policies, and these can vary depending on the cover you choose.
Common exclusions may include:
Deliberate or reckless acts
Damage or injury caused intentionally or through gross negligence.
Poor workmanship or defective work
The cost of repairing or redoing work due to faults, errors or substandard materials is not usually covered.
Wear and tear
Gradual deterioration of tools, equipment or materials through normal use.
Work outside your declared trade
Claims arising from activities not disclosed when taking out your policy may be excluded.
Uninsured or excluded activities
Certain high-risk work or specialist trades that are not covered under your policy.
Fines, penalties or contractual disputes
Unless you hold specific Legal Expenses cover, fines or purely contractual disagreements are not typically insured.
Because exclusions can differ depending on the policy and level of cover, it’s important to check your policy wording carefully so you fully understand what is and isn’t included. If you’re unsure, Rhino’s team are always on hand to help clarify your cover.
How much cover do I need?
The amount of Builders Insurance cover you need depends on the type of work you carry out, the size of your projects and the contracts you take on. Rhino offers Public Liability Insurance limits from £1 million up to £5 million, allowing you to choose a level that suits your business.
For many self-employed builders and smaller domestic jobs, £1 million of Public Liability cover may be sufficient. However, larger projects, commercial work or contracts with councils and developers often require a minimum of £2 million or more.
It’s important to note that Public Liability Insurance works per incident, not as a yearly total. For example, if you hold £1 million cover and make a £600,000 claim, you’re still covered for up to £1 million for any future claims during the policy period. If you want to read more about Public Liability Insurance, have a read of our guide here.
You should also consider:
Whether you employ staff (Employers’ Liability is legally required)
The value of tools and equipment you use
The potential financial impact if you were unable to work due to injury or illness
If you’re unsure how much cover is right for you, Rhino’s team are happy to talk through your work and help you choose the most appropriate level of protection. Just give us a call on 0116 243 7904
Tools Insurance for Builders
Your tools are essential to your day-to-day work, and you’ll already be aware of just how common tool theft is across the trades. In fact, over 80% of Rhino customers surveyed in 2024 said they knew someone who had fallen victim to tool theft — highlighting just how exposed tradespeople can be. Making sure your tools are properly insured could play an important role in protecting your business.
Rhino’s Tools Insurance helps protect you if your tools are lost, stolen or damaged while loading or unloading them from your vehicle. They can also be covered when stored in your vehicle overnight, subject to certain security requirements.
With cover starting from £4.74 per month, Tools Insurance offers a simple way to safeguard the equipment your business relies on and reduce the financial impact of unexpected losses.
Builders Insurance Claims Examples
Damage to a customer’s property
You’re carrying out structural work on a residential renovation, removing an internal wall to open up a living space. During the work, you accidentally damage a load-bearing section of the wall, causing cracking to adjoining walls and damage to the ceiling above.
The property owner is forced to stop work on the project while repairs are assessed and carried out. They make a claim against your business for the cost of repairs and associated losses.
Without Public Liability Insurance, you’d be personally responsible for paying the repair costs and any legal fees. With Public Liability Insurance in place, the insurer covers the cost of the damage and manages the claim on your behalf, protecting your business from a potentially significant financial loss.
Injury to yourself
You’re working on a domestic extension project, carrying out bricklaying and general structural work at ground level. While lifting heavy materials and moving across uneven ground on site, you lose your footing and fall awkwardly, suffering a serious shoulder injury and a fractured arm.
The injury requires hospital treatment and several months of recovery, leaving you unable to work during that time. With no jobs coming in, you still have ongoing costs to cover, including household bills, vehicle finance and day-to-day living expenses.
Because you have Personal Accident Insurance, you receive a tax-free lump sum payment, helping to relieve the immediate financial pressure following the accident. In addition, your Income Protection Insurance provides regular tax-free monthly payments, replacing a portion of your usual income until you’re fit to return to work.
Without this cover in place, you’d have no income while off work. With Personal Accident and Income Protection Insurance, you’re able to focus on recovery without worrying about your financial stability.
Tools stolen from your vehicle
You finish work for the day and park your work van outside your property overnight, with your tools securely stored inside. During the night, your van is broken into and a large amount of your tools and equipment needed for work are stolen.
The theft means you’re unable to attend jobs as planned and face the cost of replacing expensive tools at short notice. As well as the financial impact of replacing the tools, your business is disrupted while you source replacements.
Because you have Tools Insurance, you’re able to make a claim for the stolen tools. Your insurer covers the cost of replacing the equipment (subject to policy terms and conditions), helping you get back to work quickly without having to cover the cost yourself.
Without Tools Insurance, the cost of replacing stolen tools would fall entirely on you, potentially causing serious financial strain and downtime for your business.
How long does it take to get Builders Insurance?
Getting Builders Insurance with Rhino is quick and straightforward. Our online quote engine can provide a price in under 30 seconds, allowing you to see your options almost instantly.
Once you’ve answered a few questions about your business and completed payment, your cover can start straight away, with policy documents sent directly to your email. This means you can get insured and get back to work without unnecessary delays.
If you’d prefer to speak to someone, our team are available to help you through the process on 0116 243 7904
Builders Insurance FAQs
Choose the policies and levels of cover you need. You can pay monthly or annually, and Rhino does not charge any interest for spreading the cost. Public Liability Insurance is considered a core policy. You can take it out standalone, or combine it with add-ons to create a bespoke solution tailored to your business needs.
Public Liability Insurance for Builders itself isn’t a legal requirement, but certain types of cover are. If you employ anyone - even temporarily - Employers’ Liability Insurance is a legal requirement. Although Public Liability Insurance isn’t legally required, it’s often essential for winning work and protecting yourself financially.
Most self-employed builders need Public Liability Insurance as a minimum. Depending on how you work, you may also want Tools Insurance, Contractors All Risks Insurance, and personal cover such as Personal Accident or Income Protection Insurance.
This depends on the size and type of work you carry out. Rhino offers Public Liability cover from £1 million to £5 million. Smaller domestic jobs may only require £1 million, while commercial contracts or council work often require £2 million or more.
Tools Insurance can cover tools stored in your vehicle overnight, provided policy conditions are met. Always check your policy wording to understand the requirements.
Yes, providing you have Public Liability Insurance, which covers accidental damage to a customer’s property caused by your work, subject to policy terms and limits.
Public Liability Insurance doesn’t cover injuries to yourself. However, Personal Accident Insurance can provide a tax-free lump sum, and Income Protection Insurance can provide regular monthly payments if you’re unable to work due to injury or illness.
Yes. Employers’ Liability Insurance is legally required if you employ anyone, including casual workers, labourers or people on work experience.
Builders can face a wide range of legal challenges during the course of their work. These may include pursuing non-paying customers, property disputes, or involvement in health and safety prosecutions or employment tribunal cases.
This is where Legal Expenses Insurance from Rhino can help. The policy can provide up to £50,000 of cover towards legal costs associated with a wide range of legal issues, helping to protect your business from significant and unexpected expenses.
With the right legal cover in place, you can deal with legal issues confidently and focus on running your business without the added financial pressure.
Yes - Rhino allows multiple trades to be listed on one policy. Please note that some trades carry higher risk, which may affect your premium.
Builders Insurance doesn’t cover poor workmanship, wear and tear, deliberate damage, work outside your declared trade, or uninsured activities. Always check your policy documents for full details.
Yes. Rhino offers free mid-term adjustments, allowing you to update your cover as your business changes, with no admin fees for adjustments.
Rhino doesn’t charge interest on Direct Debit payments, but an administration fee applies to monthly payments, starting from £3.00 per month. Annual payments don’t incur this fee.
You can get a quote online in under 30 seconds. Once payment is made, your cover can start immediately, and documentation is sent straight to your email.
Absolutely. If you’re unsure what cover you need, Rhino’s team are happy to talk through your work and discuss suitable options for your cover. You can call 0116 243 7904 to speak to a member of the team.
