QDOS insurances - still relevant?

**JamesBrown11** · 30 December 2019, 18:36

One reason for renewal would be if you intend/expect to work for clients classed as small businesses, as they are exempt from IR35 changes.

**Swamp Thing** · 31 December 2019, 08:53

James Brown - that's the thing, I don't expect any new contracts to come up with small businesses. I've always provided services to large clients, and the probability now of picking up contacts with small businesses looks extremely low to me.

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**Lance** · 31 December 2019, 15:55

Originally posted by Swamp Thing View Post

I'm wondering what the value of QDOS insurance is from 2020? From a market point of view, I see far more, not less, movement towards inside IR35 working (whether by end client 'policy' changes or inside assessments). In which case the TLC35 element of QDOS' insurance may become irrelevant? QDOS say it's there to cover the previous 6 years and if I don't renew, then I forego that cover. In my particular situation however, I've only been contracting since Jan 2017, 3 contracts being 9-12 months max length, all with different clients. So I am assuming HMRC wouldn't see much gain in going for me?

On the PI/EL/PL side, again, will these insurances be valid in an inside-assessed engagement? I don't have any info on this, but I am assuming the client would acknowledge that there is SDC over my work because I would be inside. And therefore that any alleged E&O on my part would effectively have to be accepted/absorbed by the end client, rather than through my insurances.

So my options so far: 1. Renew everything, 2. Renew just TLC35 (just in case), 3. Don't renew at all

Any thoughts? I have no fixed view on this, just want to explore what everyone else is thinking.

Cheers,
Swamp.

PS QDOS wouldn't comment to me about future state of market, just repeating that I should renew for the sake of previous 6 years

If you’re going inside then you’ll be closing the company right?
No insurance is needed, or available for sale, for a closed company.

**soitgoes** · 1 January 2020, 11:21

Originally posted by Swamp Thing View Post

I'm wondering what the value of QDOS insurance is from 2020?

I think the likes of QDOS and IPSE are probably quite worried about this. I suspect the vast majority of their customers joined them for the insurance, as opposed to any sense of "belonging to the association," so they see an existential threat now that insurance isn't really needed any more. The "cover for previous years" story can only last so long.

Personally, I'll probably keep my IPSE membership going for another year while both the market and my position in it work themselves out. But if things end up as most people seem to think they will - all of us on payroll - insurance won't be necessary and I'll cancel it.

**Swamp Thing** · 1 January 2020, 12:15

Originally posted by Lance View Post

If you’re going inside then you’ll be closing the company right?
No insurance is needed, or available for sale, for a closed company.

Well, do I close the company? I wouldn't rule out some outside opportunities in 2020 (although I appreciate they may be unicorns) so I would want to keep my PSC going for those. I would go brolly for inside work in the meantime - so I'm ending up with a hybrid arrangement I guess.

I'm just unclear where QDOS renewal sits in a hybrid setup, especially given that my next assignment is likely to be inside (probably for 12 mths).

Any further thoughts?

**JohntheBike** · 2 January 2020, 10:44

Originally posted by soitgoes View Post

I think the likes of QDOS and IPSE are probably quite worried about this. I suspect the vast majority of their customers joined them for the insurance, as opposed to any sense of "belonging to the association," so they see an existential threat now that insurance isn't really needed any more. The "cover for previous years" story can only last so long.

Personally, I'll probably keep my IPSE membership going for another year while both the market and my position in it work themselves out. But if things end up as most people seem to think they will - all of us on payroll - insurance won't be necessary and I'll cancel it.

I think the likes of QDOS and IPSE are probably quite worried about this

IPSE in the short term I would guess, but perhaps QDOS only in the longer term to a certain extent. QDOS are picking up business from organisations wanting to assess their contracting community correctly and are engaging them to conduct this exercise. This business might continue for QDOS well after April 2020 if or when those businesses that are now trying to avoid the issues realise that they can't engage the contractors that they wish to.

**PerfectStorm** · 3 January 2020, 13:26

I got my moneys worth out of the IPSE this year - defended against a tax investigation (I won) and shopping vouchers (though my gas company sells these now too)

It's just gone up to £319 a year though

**JohntheBike** · 3 January 2020, 13:52

Originally posted by PerfectStorm View Post

I got my moneys worth out of the IPSE this year - defended against a tax investigation (I won) and shopping vouchers (though my gas company sells these now too)

It's just gone up to £319 a year though

defended against a tax investigation

I guess it was Markel Tax who did that, not IPSE. The same cover can be bought directly from Markel Tax for < £200 PA. None of the other "benefits" that IPSE offer were of any use to me.

QDOS insurances - still relevant?