The most popular type of insurance for tradies is Public Liability insurance. This is because they are in contact with suppliers, members of the public and clients daily. Any injuries incurred by these individuals or damage to their property that occur as a result of your business activities could result in a costly Public Liability lawsuit – unless, of course, you have insurance.
In fact, most licensors and contractors require their employees to be insured. Buying insurance and comparing quotes can be as easy as a few clicks of a button at www.publicliability-australia.com.au/, which offers Public Liability Insurance tailored for tradies. Be sure to follow the simple tips listed below and avoid some common pitfalls that can occur when buying insurance.
Be honest with your insurer
Buying you insurance over the phone or online can take a matter of minutes. Because the process is so straightforward, it may be tempting to simply answer ‘no’ to every question the agent/ website asks you. If you answer ‘no’ to questions about any hazardous work you undertake, your policy might be cheaper. However, you will not be fully insured, and if something were to happen you could be making you and your business vulnerable to harsh financial consequences.
You have a duty of disclosure to tell your broker/ insurance consultant any factors that could increase your risk. For instance, you might tell a Public Liability Australia representative that you are an electrician. However, to make sure that you take out the correct level of insurance for the work that you undertake. For instance, you might be an electrician working with intelligence robotics. In this case your public Liability insurance may work out pricier. A higher insurance premium reflects a higher level of professional risk, and its important for you to be fully insured should the worst happen. If you make a claim with the wrong level of insurance in place, your insurer may not pay out at all.
Especially if your daily duties include activities that are not normally a part of your profession, be sure to specify this when you apply for new insurance or are having your insurance renewed. Public Liability insurance is only useful if it is tailored for the unique needs of your business.
Update your policy terms regularly
’Set and forget’ is a really bad way to approach your Public Liability insurance. This is when you choose the right insurance for your business initially, and then keep on renewing that same policy year after year. As the needs of our business change, so will the specifications of your insurance policy. As time goes on, you might find that your business is under-insured.
So many different things could change for your business. You might change the nature of the contracts that you take on. You might take on higher-value contracts, more staff, or work in new suburbs.
Companies like Public Liability Australia require you to renew our policy yearly. This is the perfect time to update them on any and all changes to your business. Imagine lodging a huge claim involving a welder, and having it knocked back because you were not insured for the usage of welders?
Price is not the most important factor
Cashflow is always a key concern for small businesses. No small business owner wants to pay more than they have to for anything. Like every commodity, there are some dirt-cheap Public Liability policies out there for tradies. However, these cheap policies probably won’t cover you for everything that your business needs to be covered for.
Most tradies will never have to worry about the quality of their insurance policy. But if you need to make a claim, you will be very, very thankful if you have the appropriate level of cover in place. If you doubt this, talk to a colleague who has had to make a Public Liability insurance claim.
That’s why Public Liability Australia is the best place to buy your insurance. They save you the hassle of calling multiple brokers over a number of days. Instead, Public Liability Australia will show you quotes from multiple insurers side by side in a matter of seconds.
Understand your cover!
Many tradies simply don’t fully understand what Public Liability insurance is for, or what it does. You can always call 02 1300 849 081 to chat to a real person about the ins and outs of your Public Liability insurance.
Make sure that you have a policy in place!
Career-wise, there is almost nothing riskier than not having Public Liability insurance. Self-employed tradies and subcontractors do not have a boss that may be covering their insurance, and even though they might be busy, taking out insurance should be a priority. If an accident were to occur, you could potentially be liable for millions in legal and compensation costs.
Accidents can and do happen, even in the best-run workplaces. That is why it is so important to protect your back pocket and take out Public Indemnity insurance. Not only does it cover the actual cost of the claim, it also covers any legal expenses that you might incur trying to defend against the claim, whether you are found innocent or not.
The amount of money that you can be compensated will be capped at $20 million dollars, so you can choose the appropriate level of over for your company depending on the level of risk that you face, and the amount of money that you are willing to pay each day. Click here to find out more.