Guide to contractor insurance cover

It is important to make sure that you have the right insurance policy with a suitable level of cover for your business needs.

Hiscox offers a range of business insurance products that are flexible so that you can create one single, comprehensive insurance package.

To help you understand what you may need Hiscox have provided a summary of each product.

Professional Indemnity Insurance

Hiscox professional indemnity insurance can help protect you against the cost of settling or defending a client's claim that there is a problem with the work that you have carried out.

When buying a professional indemnity policy, it is important to understand the risks that your business may face. At Hiscox, their policy is built by underwriters that have specialist knowledge of your industry. The policy covers risks such as negligence, intellectual property infringement, defamation and breach of confidence. To give you peace of mind that your professional indemnity policy will provide cover for similar work undertaken in the past, Hiscox can offer retrospective cover as well.

It is critical that you have the right amount of cover for your business. Therefore when buying a professional indemnity policy you may want to consider:

  • Any contractual requirements for PI cover
  • The size of your clients and the projects you work on
  • The potential cost of legal defence fees if it came to the worst
  • The maximum compensation that could be awarded against you.

Liability insurance

There are two types of liability insurance: public and employers’.

Public liability insurance can provide essential protection to your business if you deal with the public, have clients visiting your office or if you or an employee needs to visit other premises. If you do not have any visitors to your business premises you may still suffer a public liability claim; for example if you accidentally damage a client’s property at their office.

Public liability insurance can be bought as a standalone policy or it can be purchased with a range of other Hiscox business products.

It's a legal requirement for most businesses with employees in the UK to have employer’s liability cover of at least £5 million. This insurance policy could pay your legal and compensation costs if you are sued by an employee if they believe their work has caused them injury or illness. It will cover any person working for your business even if they are volunteers or are self employed.

Employer’s liability can be added to a Hiscox public liability policy.

Office Insurance

Hiscox office insurance has been built based on the specific needs of those that work at home or run office-based small businesses.

The policy covers contents as standard but an additional range of specialist products can be added to protect your buildings and your day to day activities. These include; portable equipment, business interruption, equipment breakdown and buildings.

Click here for office insurance.

Personal Accident

If you or a key member of staff suffers an injury from an accident that has left them unable to work, personal accident insurance cover may pay your business a weekly amount. In the case that the injury results in permanent disability or death, your business could receive a lump sum payment.

You may need personal accident insurance if you have concerns as to how the business would continue if you were unable to work, want to protect your business income or need to honour your business commitments should the worst happen.

Click here for personal accident cover.

Cyber and Data Risks

Hiscox cyber and data risks insurance supports and protects businesses if they experience a data breach or are the subject of an attack by a malicious hacker that affects their computer systems. It provides comprehensive cover, simplicity, reputation protection and a trusted partner in the even of a claim. 

You may need cyber and data risks cover if you hold customer data or are reliant on computer systems to conduct your business. 

Click here for cyber and data risks cover.

Business HR

Hiscox provide a Business HR advice service which can be added to any of their business insurance policies.

BusinessHR are specialists in providing employment advice to small businesses. They manage a dedicated website which can offer;

  • Access to the employee contracts, policies and letters you need to effectively manage your staff
  • A wide range of HR and Health and Safety guides that are available to download
  • Online human resources and Health and Safety risk assessments
  • Monthly newsletters to keep you up to date on all employment issues.

Click here for Business HR advice services.

Get a quote by visiting www.hiscox.co.uk/ContractorUK or call 0800 2800 359. Not ready to renew?

Policies are underwritten by Hiscox Underwriting Ltd on behalf of Hiscox Insurance Company Ltd. Hiscox Underwriting Ltd is authorised and regulated by the Financial Conduct Authority and Hiscox Insurance Company Ltd is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority.