Contractors Liability Insurance

Contractors Liability Insurance can be a very specialised form of cover depending upon the trade or activities involved. Not all Insurers provide the same extent of cover within their contracts and consequently, careful consideration should be given when choosing the insurance coverage required.  In the age in which we live today, litigation is an every day occurrence and over recent years a steep rise in claims, both justifiable and otherwise, has been seen. This has obviously led to a rise in the cost of Liability Insurance and, in some cases, a severe restriction in the number of Insurers wishing to offer specific forms of cover.

There are three main types of liability insurance:

• Public liability insurance
• Employers liability insurance
• Professional Liability/Indemnity Insurance

Professional liability, or Professional Indemnity as it is also known, is aimed at individuals and businesses who provide a service rather than a physical product. Such examples would be Accountants, Architects, Surveyors and, of course, Insurance Brokers. Cover is arranged to protect these service providers against claims made for incorrect advice and suchlike.

Public Liability Insurance is designed to protect you in the event of injury to third parties or damage to their property during the normal course of your work. Whether you work for yourself or indeed are a large commercial concern, this area of cover, whilst not being a legal requirement, is considered vital as claims made, whether justifiable or otherwise, can be both time consuming and costly.

Employers liability insurance is a legal requirement. It is necessary in order that you and your employees are protected if they are injured at work.

As with all types of insurance, it is worthwhile to draw comparisons of cost but it is equally necessary to compare details of the policy cover provided together with any warranties, exclusions or restrictions that may apply.

With all of the costs involved today in setting up or running a business it can be quite easy to neglect or overlook your own liability insurance requirements. Having, however, the correct insurance in place does make sound business sense and also offers you peace of mind.