When considering Contractors Insurance, most people are aware of the main covers such as Employers Liability and Public/Products Liability – However there are additional covers available to you.
Tools are a vital part of a contractor’s ability to carry out their work and ultimately earn money. Replacing these items can be an expensive exercise; however it is a blow that can be softened by insuring them. These optional cover can be placed with most Tradesmen Insurance policies at a reasonable premium. This matched with a low excess should be sufficient for this to be seen as a consideration.
Something that in particular sole traders and smaller companies should consider is Personal Accident Cover. Although this will only pay a percentage of your normal earnings, it could be sufficient to see you through a difficult time where you may have little or no income to support yourself and/or family.
Contractors All Risks comprising of Contract Works, Own Plant and Hired in Plant. Any contractor involved in construction, whether it be new build or extensions, should enquire about these covers.
Covering works that are under way (excluding existing structures) and the associated materials can be expensive to replace if disaster strikes. Although man hours on sections of the contract completed will be lost, at least you will be able to claim to replace the materials lost. This is very reassuring for both clients and prospective clients alike.
A builder having their Own Plant allows them to quote more competitively when not having to account for hiring charges – imagine losing this advantage over your competitors and not being able to replace it.
Hiring companies often offer a level of cover provision on their plant, however this can be expensive. If this is going to be a common activity for you, it may be substantially cheaper to insure these items on an annual basis as part of your Contractors Liability Insurance.