Insurances for UK contractors
We strongly advise you to receive coverage through the right insurance provider to protect yourself and your business.
A majority of the clients in the engineering and professional services sectors require contractors on assignment to have appropriate insurance in place. This is not only to protect your business, but also to ensure that when you are on assignment you are suitably covered should any issue arise when you are on the job.
It is a legal requirement for all contractors working via their own Limited Company to have Employers Liability Insurance (to the statutory requirement). It is also highly recommended to have Professional Indemnity Insurance (minimum cover of £1m) and Third Party (Public Liability) Insurance (minimum cover of £2m). Anglo staff may request a copy of the certificate of insurance.
Should you require insurance, you may contact our Insurance Brokers and discuss coverage directly with them:
There are a variety of insurance products available on the market, the main ones are detailed below:
Professional Indemnity Insurance
This insurance helps protect you against the cost of settling or defending a client's claim that there is a problem with the work that you have carried out.
When buying a professional indemnity policy, it is important to understand the risks that your business may face. The policy covers risks such as negligence, intellectual property infringement, defamation, and breach of confidence. Some companies offer retrospective cover so your professional indemnity policy may provide cover for similar work undertaken in the past.
It is critical that you have the right amount of coverage for your business.
There are two types of liability insurance: public and employers.
Public liability insurance can provide essential protection to your business in circumstances where a third party brings legal action against you in respect of physical injury or damage to property caused by you in the course of your business. Public Liability is designed to defend your case and, if necessary, pay the damages owed.
Employers liability insurance is not a legal requirement if you are a ‘Ltd’ Company, you are the only employee and you own at least 50% of the issued share capital of the company. The employer’s liability insurance will protect you in circumstances where an employee seeks to bring a claim against you for personal injury or accidental death sustained as a result of their employment with you.
If you suffer an injury from an accident that has left you unable to work, personal accident insurance coverage may pay your business a weekly amount. In the case that the injury results in permanent disability or death, your business could receive a lump sum payment.
You may need personal accident insurance if you have concerns as to how the business would continue if you were unable to work, want to protect your business income, or need to honour your business commitments should the worst happen.
Cyber and Data Risks
Cyber and data risks insurances support and protect businesses if they should experience a data breach or are the subject of an attack by a malicious hacker that affects their computer systems. It provides comprehensive coverage, simplicity, reputation protection and a trusted partner in the event of a claim.
You may need cyber and data risks cover if you hold customer data or are reliant on computer systems to conduct your business.