If you’re looking at heading into the construction industry as a builder, then there are a number of things that you’re going to need to consider. Alongside the home improvement industry, a number of sectors that lie in construction and building are becoming increasingly scrutinized, which means homeowners are only going to be searching for companies who have the most up-to-date and extensive builder insurance cover prior to allowing them to work on their property.
This means, it is becoming increasingly important for builders to have the correct insurance, whether they are sole-traders or are working under a corporation, and knowing the impact of the different policies can help to determine their importance dependent on your individual situation.
Here, we’re taking a closer look at the importance of insurance for those starting a career in the building industry.
Protecting Yourself Against Claims From The Public
If you are working on a property or any other project, and a passer-by happens to be injured as a result of your work, i.e. if slate falls from the roof and hits them, then the chances are, that particular person will be seeking some form of compensation as a result.
Public Liability insurance is the right type of insurance to cover you for this type of claim and you are found liable.
This can be extremely important in not only protecting your reputation, but it can also ensure that you are not left with numerous court fees to pay which can prove to be detrimental to your business’ finances.
Protecting Your Employees
If you’re starting your building career as a limited company, then you’re going to need Employer’s Liability insurance. While this is a legal requirement, there are numerous unreliable companies that will attempt to get away without this.
Employer’s Liability insurance however, will protect you as the business owner, as opposed to the employees, in the event of an employee claiming against your business as a result of injury during a project they are working on under your name.
If you do not have Employer’s Liability insurance and your business is found without it, then the homeowner whose property you may be working on may also be at risk of litigation!
What People Will Consider Prior To Employing A Builder
One of the major reasons you should ensure you have the right type of insurance if you’re starting your career as a builder, is because it is something that many people will look for prior to hiring your services. Any reputable builder should have numerous types of cover, even all-risk cover which can provide cover for any work carried out which is accidentally destroyed prior to completion.
Alongside insurance, many homeowners and companies looking for work to be carried out on their property, will also look for trade association memberships, written quotes prior to the project being started, registration, and a good reputation.
In short, having the right type of insurance when starting your career as a builder will not only provide you with a valuable reputation, it can also help to ensure that your business is protected at all times, in the event of a claim from an employee or member of the public.