The electricians guide to insurance

Whether you’re an electrical contractor or run your own freelance electrical business, finding insurance tailored to meet your needs can be difficult. Choosing the right electricians’ insurance cover is key to protecting you and your business from losses that could cost more than expected. To help you choose the best insurance it’s important to understand all the options available and how they will benefit your business.

Self-employed electricians

What insurance do self-employed electricians need?

Public liability insurance

If you’re self-employed electrician, direct contact with clients on a regular basis is part and parcel of the job, therefore public liability insurance is essential. Whatever the job, accidents can happen and if a claim is made against you for injury or property damage as a result of your work, public liability insurance will protect you and your independent business.

Tools and equipment insurance

As a self-employed electrician damaged, lost or stolen tools and specialist equipment are no joke! Having to replace your equipment is more than an expensive cost, it could also impact your ability to do business. Tools and equipment insurance will ensure you are covered for any losses and enable you to keep your electrical business up and running.

Personal accident cover

From managing your own hours to choosing your clients, working for yourself has its benefits but if something goes wrong on the job you want to know you aren’t alone and that the right support is in place. Personal accident cover will help you to ensure that when an accident happens and you are unable to work you have the financial help you need.

How much does insurance cost for self-employed electricians?

The cost of insurance for your business as a self-employed electrician will vary based on your choice of cover. Electricians’ insurance with Superscript starts at £6.85 per month.

Assessing the risk you and your business face will help you to decide the right level of cover to protect you from potential claims you could come across during the course of your work. If you apply the following quick and easy assessment, to each of these risks it will help you to decide what level of cover is best to protect you:

Your business: A self-employed electrician Risk: Tools being stolen from my van overnight

• What insurance is needed to cover this risk? Tools and equipment insurance.
• How likely is this to happen to my business? This happened to me twice last year.
• How much would this risk cost my business in lost revenue? Last time this happened, it cost me over £x to replace the stolen tools.
• How much would cover for this risk cost? Tool and equipment insurance cover with Superscript starts at £x.xx per month.
• How much would it cost to make a claim? The excess would be £x, minimum.

Electrical Contractors

What insurance do electrical contractors need?

Public liability insurance

If your electrical business carries out jobs that come into contact directly with clients or other members of the public, public liability insurance is key to your protection. If any injury or property damage occurs as a direct result of your company’s work and you are sued, public liability insurance will ensure you are covered against legal and compensation costs.

Employers’ liability insurance

Whatever precautions and regulations you put in place, accidents are inevitable while your employees are at work and it’s not just important to ensure you are able to provide them with the right support, it’s also your legal obligation in the UK. Without this insurance and the certificate to prove it you could be fined up to £2,500 per day for each uninsured day!

If your electrical business hires any employees, including apprentices, part-time, or temporary workers, employers’ liability insurance will help you to cover the support and compensation they need when accidents happen.

Tools and equipment insurance

The occasional pair of misplaced pliers is an annoyance, but damaged, lost or even stolen specialist equipment is a much bigger problem for your electrical business, difficult to replace and often at a great cost.

Tools and equipment insurance cover will help you to make sure that when damage, breakage or theft occurs to the tools of your trade you’re able to cover the costs and keep your business operating.

How much does insurance cost for electrical contractors?

Electricians’ insurance with Superscript starts at £6.85 per month but the full cost of insurance will depend on the level of cover you decide suits your electrical business best.

Throughout the course of your work, your business and your employees will come across a variety of risks, planning for these will enable you to choose the best protection. Identify each risk and then ask yourself the following four high-level questions:

Example:

Your business: An electrical contractor. Risk: One of my employees is harmed on the job.

• What insurance is needed to cover this risk? Employers’ liability insurance.
• How likely is this to happen to my business? Very. This has happened on four jobs over the past few years.
• How much would this risk cost my business in lost revenue? Last time this happened, it cost my business over £x in employee compensation.
• How much would cover for this risk cost? Employers’ liability insurance cover with Superscript starts at £x.xx per month.
• How much would it cost to make a claim? The excess would be £x, minimum.

Based on this simple assessment for each risk you can make an informed decision on the insurance cover that works best for you and potentially save your business thousands of pounds from the cost of future claims.