Do decorators need public liability insurance?
Working as a decorator has its advantages. It’s easy to set yourself up in business and can allow for a degree of variety when choosing the sorts of jobs you want to do. However, you must make sure you are properly set up. This includes having the right insurance.
What is public liability insurance?
Public liability insurance is a type of insurance that is designed to protect you and your decorating business if something you do causes damage to property or injury to someone.
For example, if you spill a pot of paint on a client’s carpet, or the client trips over equipment you’ve left attended and causes themselves an injury, your public liability insurance will cover any subsequent claim for compensation.
Do decorators need public liability insurance?
If you come into contact with the public, or with clients and their property, then you should consider public liability insurance. It is not a legal requirement, but most large organisations may insist you have it as a term of your contract.
In addition, you may find that your trade association requires you to have public liability as a condition of membership. Clients will also find it reassuring to know you are properly insured.
In essence, having public liability is an important and easy way to reinforce the reputation of your business
Why is public liability insurance important?
However careful you are, accidents happen. Unfortunately, even a small incident can amount to a claim for damages against you for thousands of pounds.
Imagine your client trips over a pot of paint you are using and breaks their ankle. If you are found to be at fault by the courts, you will likely have to pay:
- damages for new carpets
- the client’s lost earnings
- their expenses getting to and from hospital
- legal fees
Before you know it, you’re facing a court order to pay a large sum of money. If you cannot pay, your business and assets may be at risk.
Does it matter if I operate on a self-employed basis?
It doesn’t matter whether you’re a self-employed sub-contractor or run a limited company or partnership; the insurance requirements are the same. The only difference may be that your insurance costs a little less if you are a sole trader.
How much public liability insurance cover does a decorator need?
This will depend on:
- the type of work you do
- the projects you work on
- your claims history.
It is common for public liability cover to start at £2 million, although you may need less.