How to Check if a Tradesman is Insured

Hiring a tradesman for work on your home or business is an important decision, and ensuring they are properly insured is essential for your protection. Accidents, property damage, or injuries can happen during any project, and without the right insurance, you could be left vulnerable to costly claims. This comprehensive guide will explain how to check if a tradesman is insured, what to look for in their insurance documents, and why it matters for your peace of mind.

Why Is Tradesman Insurance Important?

Tradesman insurance is designed to protect both the tradesperson and their clients from financial loss due to accidents, injuries, or property damage that may occur during the course of their work. The most common and crucial type of cover is public liability insurance, which covers claims made by third parties for injury or damage caused by the tradesman’s work1245. Other types of insurance, such as professional indemnity or employers’ liability, may also be relevant depending on the nature of the business and whether the tradesman employs staff.

If a tradesman is uninsured and something goes wrong, you may have little recourse for compensation. That’s why checking a tradesman’s insurance status before work begins is a fundamental step in protecting yourself.

Step-by-Step Guide: How to Check if a Tradesman is Insured

1. Ask Directly for Proof of Insurance

The simplest and most effective way to verify a tradesman’s insurance is to ask them to provide their insurance certificate1257. This is a standard request, and reputable tradespeople will be happy to comply. You can ask for a physical copy, a scanned document, or even a confirmation letter from their insurer or broker.

“If insured, most tradespeople will provide proof of cover when asked. The only definitive way to know if a business has insurance is to ask.”2

2. Examine the Insurance Certificate Carefully

Once you have the insurance certificate, check for the following key details to ensure it is valid and relevant to your project15:

• Business Name: The name on the certificate must match the tradesman or company you are hiring. Any discrepancies could mean the insurance does not apply to your job1.
• Business Description: The certificate should specify the type of work or services covered. Make sure your project falls within the insured activities1.
• Insurer Name: Check which insurance company issued the policy. Well-known, reputable insurers are preferable5.
• Policy Number: This unique identifier can be used for verification if needed5.
• Coverage Amount: Ensure the policy limit is sufficient for the scale of your project (e.g., £1 million or more for public liability is common)5.
• Policy Dates: Confirm that the coverage is current and will remain valid throughout the duration of your project5.
• Exclusions: Review any listed exclusions or limitations that might affect your protection5.

3. Request Written Confirmation from the Insurer (Optional)

For extra peace of mind, you can contact the insurer directly to verify the policy’s authenticity. Some insurers may require written permission from the tradesman to release information about their policy57. When contacting the insurer, ask them to confirm:

• The policy is active and in force
• The business name and description match your tradesman
• The coverage amount and expiration date
• Any significant exclusions or limitations

4. Check Membership of Trade Associations

Many trade associations require their members to hold valid insurance as a condition of membership5. Examples include the Federation of Master Builders, NICEIC for electricians, or Gas Safe Register for gas engineers. You can often check membership status online, and if the tradesman is a member, it’s a good indicator that they are properly insured.

5. Include Insurance Verification in Your Contract

To formalize the process, you can stipulate in your contract that the tradesman must provide evidence of insurance before starting work2. This protects both parties and ensures there are no misunderstandings about coverage.

What Types of Insurance Should a Tradesman Have?

Public Liability Insurance

This is the most important cover for tradesmen. It protects against claims for injury or property damage caused to third parties during their work. If a tradesman accidentally damages your property or someone is injured as a result of their work, this insurance covers compensation and legal costs1245.

Employers’ Liability Insurance

If the tradesman employs staff, this insurance is legally required in the UK. It covers claims from employees who are injured or become ill as a result of their work24.

Professional Indemnity Insurance

This is important for trades who provide advice, design, or consultancy services. It covers claims arising from professional negligence or mistakes14.

Other Optional Covers

Depending on the nature of the work, tradesmen may also have:

• Contractors’ All Risks Insurance: Covers damage to building works, materials, and equipment4.
• Tools Insurance: Protects against theft or damage to tools4.
• Business Interruption Insurance: Covers loss of income due to unforeseen events4.

What to Do If a Tradesman Refuses to Provide Proof

If a tradesman is unwilling or unable to provide proof of insurance, consider this a major red flag. Reputable professionals understand the importance of insurance and will be prepared to show evidence. If you cannot verify their insurance status, it is safest to look for another tradesman who is properly covered125.

Consequences of Hiring an Uninsured Tradesman

• Financial Risk: You may be liable for costs arising from accidents, injuries, or property damage.
• Legal Issues: Some types of work require insurance by law. Hiring an uninsured tradesman could put you at risk of legal action.
• No Recourse: If something goes wrong, you may have no way to recover your losses.

Frequently Asked Questions

Is it common for tradesmen to be uninsured?

Most professional tradesmen understand the importance of insurance and will have the necessary cover. However, there are still some who operate without it, especially in less regulated trades or among casual workers.

Can I check insurance online?

Some insurers and trade associations offer online verification tools. However, the most reliable method is to request the insurance certificate directly from the tradesman.

What if the insurance expires during my project?

Always check the policy’s expiry date. If the project will last longer than the current policy, request updated proof of insurance before the policy expires.

Summary Checklist: How to Check a Tradesman’s Insurance

• Ask to see the insurance certificate before work begins
• Check that the business name, description, and insurer match your tradesman
• Confirm the policy covers the type of work you are hiring for
• Verify the coverage amount and policy dates
• Contact the insurer for confirmation if you have any doubts
• Check for membership in relevant trade associations
• Make insurance verification a condition in your contract

Conclusion

Verifying a tradesman’s insurance is a simple but crucial step in protecting yourself and your property. Always ask for proof, check the details, and don’t hesitate to seek confirmation from the insurer if needed. By taking these steps, you ensure that your project is in safe hands and that you are covered should anything go wrong.

References

1. https://www.nimblefins.co.uk/business-insurance/tradesman-insurance/how-to-check
2. https://www.markeluk.com/articles/how-to-check-if-a-tradesman-is-insured
3. https://www.tradesmansaver.co.uk
4. https://www.nfumutual.co.uk/news-and-stories/tradesman-insurance-what-you-need-to-know/
5. https://www.towergateinsurance.co.uk/small-business-insurance/how-do-I-check-if-someone-has-public-liability-insurance
6. https://www.gov.uk/government/publications/does-this-person-hold-public-liability-insurance/does-this-person-hold-public-liability-insurance
7. https://www.myworkman.co.uk/questions/view/1159/how-and-when-to-check-that-a-builder-has-liability-insurance-/
8. https://www.gocompare.com/business-insurance/tradesman/
9. https://www.directlineforbusiness.co.uk/small-business-insurance/tradesman
10. https://www.checkatrade.com/blog/trade/start-business/find-right-tradesman-insurance/