Running a busy plumbing business is a lot of work. Thinking about insurance might be the last thing on your to-do list (if it’s even made your list at all).
But, putting plumbers’ insurance on the back burner may not be a wise move. Insurance for plumbers can help you prepare for the unexpected, keep your cash flow steady, and avoid a flood of unwanted expenses. Keep reading to learn more about the reasons why plumbers get insurance for their businesses.
Why do plumbers consider insurance?
Plumbers face many risks due to the nature of the job. If you are a small business owner, then you also face risks on this front. These workplace hazards can take many forms, such as:
- Accidentally damaging a customer’s property
- Having your tools stolen from your locked work vehicle
- A mistake in your work that causes costly project delays and fixes
- An injury that makes it impossible for you to work for several weeks
- A fire at your office damages tools and stock
There are many types of plumber’s insurance that you might consider to help your business handle these and other risks. Policies include:
As a plumber, you interact with many different people throughout your day. Suppliers, delivery people, and other contractors often come and go from work sites, and customers are typically home while you’re working on their pipes. Such close contact with others and their belongings could lead to trouble—specifically accidental injury and property damage claims.
Public Liability insurance covers legal fees and compensation costs if a customer, member of the public, or a supplier claims against you for injury or damage to their property as a result of your alleged negligent business activity.
In some states and territories, you may be required to hold a minimum level of Public Liability cover to work as a plumber. Cover may also be compulsory if you are hired as a contractor or subcontractor, are a member of a trade association, or want to lease commercial space for your business.
Consider this: You’re working on a construction site, and another tradie trips over your toolbox and injures themselves. You could be liable for their medical bills and other compensation.
Plumbers often need to make quick decisions that can impact other contractors’ work and entire building projects. A small mistake may not seem like a big problem—until it is. Even a minor error or miscalculation could cause a project delay or require work to be redone, resulting in large bills or compensation claims for your business.
Professional Indemnity protects you against losses claimed by a third party due to alleged or actual negligence in your professional services or advice. Subject to applicable limits, your Professional Indemnity insurance will meet the associated compensation payable to a third party together with your defence costs (which can include legal costs, investigator costs and expert fees).
Professional Indemnity cover may be required to win government contracts or to work with other organisations.
Consider this: You make a mistake plumbing a new construction and need to redo your work. This delays other parts of the build, causing multiple tradies to also miss their deadlines. They could want you to compensate them for lost revenue caused by the delay.
While you may need separate insurance policies to address some specific risks, many can be combined in one policy. Damage to your tools and equipment, an unexpected business interruption, or damage to your workspace and the contents inside can be protected in a single, convenient package.
Business Insurance is an insurance package designed to provide cover for your business contents, stock, tools and commercial premises when an insured event occurs (such as fire, storm, theft or even accidental damage). A Business Insurance package can also cover your portable equipment, glass and loss of revenue due to business interruption in specified circumstances. In addition, cover is available for public liability, tax audit, employment practices and statutory liability risks.
Consider this: A tree branch falls through your warehouse roof during a severe storm, and rain damages some of the contents inside. Business Insurance could help you pay for roof repairs, as well as replace items that were destroyed by the rain.
Personal Accident & Illness*
Accidents happen on and off the job. A serious injury or illness could put you out of work for weeks—or worse—permanently. This could impact your business and personal finances, both in the short-term and the long-term. You may want a backup plan to help you replace your salary while you are recovering.
Personal Accident and Illness insurance can provide cover should you become permanently disabled or pass away as a result of an accident. Cover can also include a weekly benefit for loss of income if you are unable to work as a result of an unexpected injury or illness (even if it occurs outside of your employment).
Consider this: You break your leg during a skiing holiday and are unable to work for several weeks. A Personal Accident & Illness policy could cover a portion of your salary while you recover.
Ready to get covered?
As you can see, there are many types of insurance for plumbers that you might consider for your small business. From property damage claims and professional mistakes to unexpected events and injuries, you could shield yourself against many of the everyday risks that you are likely to face.
If you’re ready to protect your business with plumbers’ insurance, Public Liability Australia can help. Compare policies, choose the cover that fits your needs, and buy online in minutes! You’ll even be covered instantly and get your policy documents delivered straight to your inbox.
Compare quotes now and get covered with Public Liability Australia!
This information is general only and does not take into account your objectives, financial situation or needs. It should not be relied upon as advice. As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording.
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