No matter how experienced a carpenter you are, or how diligent you are with safety, accidents and mistakes can happen any time. Most carpenters, especially sole traders and the self-employed, cannot afford to be out of work through injury, illness, property damage or lost equipment and tools. Add in the possibility of large compensation claims from people who say they have suffered loss or injury because of the work you do, and you simply cannot take the risk of going uninsured.
Carpenters insurance is specially designed to protect tradespeople from the downsides of doing business. Read on to find out all you need to know about this essential cover.
Many carpenters work in the construction industry where the potential for accidents, theft, errors and omissions is high. However, even if they work in a ‘safer’ environment, such as a joinery shop making furniture, carpenters still need insurance to protect against claims and costs that could arise from mistakes or mishaps common to the trade. In short, carpenters need insurance to protect themselves, their employees, their tools, vehicles and assets, and their financial stability.
What would you do if your vehicle, tools or costly materials were lost, stolen, or damaged by fire or flood? Additionally, compensation claims for personal injury or property damage or loss caused by you, your employees, your vehicles or the work you do could run into the tens or even hundreds of thousands of pounds. Could your carpentry businesses afford such a blow? One mistake or accident could put you out of business permanently and leave you saddled with enormous debts.
Instead, carpenter’s insurance can include public liability cover that pays out if a member of the public is hurt or suffers property damage caused by your work, tools insurance to protect your essential trade equipment and machinery, van insurance to cover your commercial vehicle, stock insurance to protect the raw materials and finished goods you keep in store, and employers’ liability insurance that covers your employees or other tradesmen you have hired from personal injury or property damage caused by the work they do for you.
No, only employers’ liability insurance is required by law. However, you may find that some clients, especially councils and other public bodies, may not do business with you unless you have public liability insurance to a minimum level of cover.
There are many types of insurance for carpenters, but the most important cover includes:
Public Liability Insurance protects you and your carpentry business if someone is injured, or their property is damaged because of the services that you or your business provides. This type of cover, also known as PL or Liability Insurance, is designed to protect your business against third party claims for injuries or property damage from a customer or client, passer-by, or a visitor to your business premises – whether you’re at fault or not.
Van insurance covers your work vans and any personal contents you are carrying, such as your professional tools, from accident, fire or theft. Van insurance can also cover any goods or materials that you are transporting and protect you when you’re travelling to multiple places on business as well as your daily commute. For an extra charge, most insurers will offer other insurance options, such as courtesy van hire and breakdown service and recovery. This can minimise the impact on your business if your van is off the road due to an accident.
Under the Employers Liability Act of 1969, employers’ liability insurance (EL) is a legal requirement for most UK employers. EL protects you and your employees, (including those who no longer work for you), should they be injured or become unwell as a result of working for your business. EL typically covers the associated legal and compensation costs, and other damages of such events, but it can also cover accidental injury or damage caused by an employee to a third party, such as your customers.
Depending on the type of cover you buy, carpenter insurance can protect you financially from:
Premiums for carpenters insurance can start at less than £8 per month, but the price you pay will depend on the size of your business, the number of employees you have, the level of risk attached to what you do, the amount of cover you choose and the limit of your policy excess.
All business involves risk, but that doesn’t mean you have to suffer the consequences if things go wrong. Don’t let an accident, mistake, or omission wreck the business you’ve worked hard to build.
Get in touch today to start your carpenters insurance quote
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