Kompare

Trades

Tradesman insurance: why public liability cover matters

What tradesman public liability insurance covers, when employers' liability is a legal requirement and the other covers UK tradespeople often consider.

Whether you are a plumber, electrician, builder or decorator, public liability insurance is one of the main protections a tradesperson can have. A single accident on a job can lead to a large claim for compensation and legal costs.

What is tradesman public liability insurance?

Public liability insurance covers you if a third party, such as a client, a member of the public or a visitor to a site, is injured or has their property damaged because of your work. Depending on the policy, it can pay for compensation, legal costs and damage to a client's property.

Public liability insurance is not a legal requirement for sole traders. In practice, though, many clients, main contractors and building sites will not let you work without proof of cover, and some contracts set a minimum level.

If you employ anyone, employers' liability insurance is a legal requirement for most businesses. According to GOV.UK, it must cover you for at least £5 million, and you can be fined £2,500 for every day you are not properly insured.

What other insurance does a tradesman need?

  • Tools and equipment cover protects against theft, loss and accidental damage to your kit.
  • Professional indemnity covers you if a client suffers a financial loss because of your advice or design work.
  • Personal accident cover can pay out if you are injured and unable to work.
  • Van insurance for business use must be set up for the work you actually do. See van insurance.

How much public liability cover do you need?

Policies are commonly sold with limits of £1 million, £2 million, £5 million or £10 million. Smaller domestic jobs are often done with lower limits, while commercial, public sector and larger contracts often ask for higher ones. The simplest way to decide is to check what your clients and contracts require, and to think about the size of claim your work could lead to.

Getting tradesman insurance quotes through Kompare

Kompare works with specialist brokers for tradespeople. You fill in a short form and a specialist, FCA-authorised broker from our panel contacts you to talk through quotes. Find out more about tradesman insurance, van insurance for your work van, or fleet insurance if you run a team of vans.