What insurance do you need as a painter and decorator?
Working as a painter and decorator can mean being part of interesting and varied projects. If you’re working for yourself, it means you also get to work on your own terms. However, it is still important to make sure you are properly insured.
Why do I need insurance?
Painting and decorating may seem like a low-risk trade, but there are many things that can go wrong. For example, a pot of paint could fall or spill on a client’s belongings. If you have employees, they could be injured – e.g. by falling off a ladder.
You should also think about what would happen if you lost your tools, in the event of theft or damage. Would you still be able to work? What if you could not complete a job as a result?
If any of these incidents occur, and your business is successfully sued for damages, injury or breach of contract, it could result in an order for you to pay thousands of pounds. If you cannot pay, your business and assets could be at risk.
What types of insurance do I need?
There are several types of insurance; what you need may vary depending on the sort of work you do. However, you should always consider is public liability insurance if you come into contact with the public.
Public liability is designed to cover you and your business in the event something your business does causes damage to someone’s property or injury or harm to a third party.
What other types of insurance do I need?
If you have any employees, even part-timers or trainees, then you are legally required to have employers’ liability insurance. This provides cover if a current or former employee suffers injury or harm as a result of working for you.
You should also consider insurance to cover the loss of your tools, so you can replace them quickly and get back to work.
You may also need professional indemnity insurance. This provides cover in the event professional advice you give turns out to be negligent and causes someone a financial loss.
There may be other types of insurance you need. If you’re not sure, speak to an insurance company experienced in helping tradespeople.
How much cover do I need, and how much will it cost?
The amount of cover you need will depend on the sort of work you do. However, there is a legal requirement that you have at least £5 million of employers’ liability cover if you have employees.
It’s common to have public liability cover of £2 million or more, and professional indemnity insurance starting at around £50,000.
Your tools insurance will depend on the value of your tools.
The cost of your insurance will depend on multiple factors including:
- the size of your business
- your claims history
- the sort of work you do
Fortunately, it’s quick and easy to get a quote online.
Does it matter how my business is set up?
The insurance requirements are the same whether you operate as a sole trader, limited company, or partnership.