What’s the Best Handyman Insurance?

While every handyman insurance policy is slightly different, the best policies always start with handyman public liability insurance. Handyman public liability will protect you in the event that a third party (customer, other business, member of the public) is injured or incurs property damage as a result of your work. While it isn’t technically mandatory in the UK, it might as well be – most customers won’t consider hiring a handyman who doesn’t already hold a good public liability policy.

Public liability is often sold alongside product liability (the two are often even bundled together for a little extra cost). Product liability will cover any faults with the products you sell/recommend to your customers – say you’ve installed a TV bracket that fails after a month and breaks the attached TV. The two combined create a well-rounded cover that protects you both while you’re working and completing the job.

Next, if you employ nearly anybody in the UK, you’re legally required to hold Employers’ Liability. It’ll protect you if somebody you employ believes their work for you caused them to become injured or unwell and you’re at fault. The penalties for not having a valid policy are severe – up to £2,500 for each day somebody works for you uninsured, and even being unable to show a certificate when requested (even if you do hold a policy) can land a fine of up to £1,000, so make sure you keep it somewhere easily accessible.

Any handyman is only as good as the tools he uses, so protecting them is almost as important as protecting yourself. A quality tools/equipment insurance policy can help take care of that, covering your tools in the event that they’re lost, damaged in a covered event like a fire, or stolen. You’ll only pay for what you need, so assess the value of your tools before signing up to avoid paying more than necessary.

If you’re using a vehicle to support your business, perhaps carting your tools from customer to customer, then you’ll need a form of commercial vehicle cover. This is a level above a traditional social, domestic & pleasure (SD&P) vehicle insurance policy and protects your car or van from the additional risks that business driving exposes you to, such as spending long hours behind the wheel. While you might not think it necessary, it’s illegal to drive without the appropriate insurance in the UK, so you risk severe fines, license points, and even disqualification from driving if you’re involved in an incident.

Finally, personal accident cover can help protect you in the event you’re unable to work due to injury or illness. It’s by no means compulsory but is worth considering if you’re not sure how you’d cover your monthly outgoings (bills, rent, etc.) if you were unable to work for an extended period of time.

Handyman liability insurance

Handyman liability insurances are designed to protect you against some of the most common risks you’ll face while on the job. There are two types of insurance you’re likely to see most commonly referred to when discussing handyman liability cover – public liability and product liability.

Public liability will protect you in the event that a third party incurs injury or property damages due to your work. ‘The third party’ is a broad term but includes members of the public, customers, and other businesses you’re sharing a worksite with. It typically comes in 4 levels of protection – £1M, £2M, £5M and £10M, but other limits are available if you speak to your provider if those don’t suit your needs.

Product liability covers you if a product you’ve sold or provided to your clients fails and causes property damage. It’s usually sold alongside public liability, and you may even find some insurers willing to package the two together at no additional cost.

Does a handyman need public liability insurance?

Yes, a handyman absolutely needs public liability. The costs of not holding a policy can be severe – the average public liability settlement in the UK is around £13,500. When you consider that a £2M public liability policy will cost around £75 annually, it’s not difficult to see the value.

And while it isn’t mandatory, most customers will insist you hold a policy before they even consider hiring you – the risks for your clients of hiring someone without a policy are too high, so most won’t even consider it.

Handyman liability insurance cost

£2M of public liability insurance for handymen is likely to cost you around £75 annually. Your final cost will naturally depend on the factors insurers use to determine your risk profile, such as your age, experience in the industry, and where your business is based. And if you need a higher limit of insurance, this would also raise your insurance rate.

How much is handyman insurance?

While a basic handyman insurance policy providing £2M public liability will cost roughly £75 per year, a more well-rounded policy, including personal injury and £2,000 worth of tools cover, would be around £230 for the year.

Adding an employee (and therefore having to purchase employers’ liability) increases the cost dramatically – up to nearly £620 from £230. However, when you consider that you can be fined up to £2,500 for each day somebody works for you without employers’ liability, it simply isn’t worth taking the risk.

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