One of the most common questions we get asked at Kingsbridge Contractor Insurance is ‘Why do I need insurance?’ Let us explain.
No matter your industry, if you work as an independent contractor you’re providing your client with your services or your professional advice. If, during the course of your work, you make a mistake or an error that has an effect on your client or their business then they are well within their rights to make a claim against you. Because of this you’ll need to have the relevant insurances. Having the right insurance in place when a costly claim is made can be the difference between keeping you in business and having to shut your business down, something that could have a negative impact if you want to work as a contractor again in the future.
The only insurance required by law is employers’ liability, unless you are the only employee of your company and own over 50% of the business, in which case you’ll be excluded. However, if there’s more than one worker in your company (even if it is only your spouse as the company secretary), then it’s likely you’ll be required to carry employers’ liability insurance. Purchasing and holding adequate insurance is also a key IR35 indicator.
Clients or agencies will often insist that you have adequate insurance cover before you undertake a contract. There’s always a chance of someone claiming against you, so having the right cover will provide you with something invaluable: peace of mind. That’s where we come in. The most common insurances held by contractors and freelance professionals are professional indemnity insurance, public liability, and employers’ liability. Alongside these we offer personal accident cover and directors’ and officers’ liability as standard, all in one easy to manage package. Head on over to our website to find out more, or get in touch with us on 01242 808740 or firstname.lastname@example.org.