Public liability insurance for handymen
There are various forms of insurance available for handymen, but without doubt the most commonly required form of cover is public liability.
In this guide we’ll take a look at what this form of insurance covers, which handymen need it, how you can benefit from it and how much it will cost you.
What Is Public Liability?
Public liability is designed to protect a business owner financially in the event that through negligence they cause property damage or personal injury to another person.
If you are found liable for such an incident you will be responsible for a range of costs, which could range from a few hundred dollars through to a few million dollars.
A minor claim for a handyman could involve basic property damage, such as breaking a sliding glass door whilst walking through a house with a ladder. Although with an average excess of $250 for property damage, you would only claim if the amount was above the excess amount.
A more serious claim could involve personal injury or even death. For example you may have left a power cord laying across a hallway without taking the proper precautions, and someone has tripped over and injured themselves.
Personal injury claims can include all sorts of costs, such as medical and rehabilitation expenses, lost income and other forms of compensation.
A handyman can protect themself against such costs by ensuring they have the right public liability policy and coverage in place.
Which Handymen Need It?
Any handyman who works for himself will need to consider public liability. Whist it is not mandatory for all handymen, it will often be so if you undertake work for real estate agents or property managers.
If you work for a company on wages, and they cover expenses such as tax and workers compensation for you, generally you will be covered under their public liability cover.
If you have your own ABN, issue invoices and pay your own tax, then you will almost certainly not be covered by anyone else’s insurance and will need you own.
How Much Does It Cost?
The public liability insurance cost will depend on two main factors for a handyman. This includes the size of your business in terms of revenue and staff numbers, as well as the type of work you are undertaking.
Many handymen work for themselves as sole traders or one-person companies. In this case the cover will be very affordable provided that you’re not doing any ‘out of the ordinary’ types of work.
Whether or not you do any commercial work will also have an impact on the cost of your insurance. If you do residential work only the premiums will be quite low, but they can increase if you are doing work at any commercial or industrial premises.
The most accurate way to find out how much your public liability is going to cost is to request a quote. You can do this by selecting the amount of cover you require from the menu above, then following the prompts and entering the requested information.
For more information on public liability for handymen in Australia please contact us or your preferred insurance broker.