A Trade Insurance is a policy which has a wide coverage to protect you from any liability claims in your trade. As a tradesperson, you may need to travel to different sites and this policy will cover you from the theft of your tools or equipment as well as from personal accidents or illnesses.
This insurance policy helps trades persons to carry out their trade and skill without any undue worry of unfortunate incidents. Given below are a few of the wide range of trades that fall into this category of insurance:
- Brick Layer
- Residential Builders
- Lawn Mower
A common Trade Insurance will always cover a number of options. It covers the typical risks that a tradesperson may face every day and the policy also allows you to choose cover options you may wish to have. Some of these cover options include:
Personal injury and property damage: This option will cover you if someone sues you for personal injury or damage to their property in relation to your business. For example, you could be sued if someone trips over a hammer you left lying around; or if you accidentally caused the same damage to your customer’s property – dent in a wall or pipe.
Business vehicle insurance: provides the same cover as your personal vehicle but it is registered as a vehicle for business use. This cover is vital for tradespersons who travel since they are at a higher risk for accidents.
Burglary: This option covers for burglary at your business premises for equipment, stock or contents.
Personal accident and illness: This covers for loss of income as a result of a defined accident or illness.
Property in transit: This option covers the theft of property that you take about with you, such as all the different types of tools and equipment.
Mentioned above are just a few of the many covers that can be included in a Trade Insurance policy. You can discuss all these options which are relevant to your trade with your insurance agent before finalizing on a policy.
As a tradesperson, you will never know when an unforeseen or unexpected situation may arise when working. Given below are a few examples that will help you understand the value of investing in such a policy:
1) Electrical Services:
· Theft of electrical equipment
· A worker getting electrocuted
· A sudden illness of the Electrician – the policy owner
· Accidentally a worker causes some injury on a client at the salon
· Any damage caused to the salon building
· Fire at the salon
3) Motor Trades:
· An error made by a worker during a repair job – fixing faulty work
· The vehicle used for the business meets with an accident
· Burglary and damage caused to the workshop
These are just a few examples of the different covers that are available for the different types of trades. All tradespersons can customize a Trade Insurance plan to suit the particular trade you work on.
Some online websites appropriately term this policy as “Blue collar insurances for Blue Collar business.”