A simple guide to business insurance for tradies

As a tradie, your job carries unique risks, whether you’re in a client’s home, a workshop or a construction site. While some risks can be managed, others can come down to chance, and that's when insurance can help. Insurance for tradies can help protect you from the financial burden of something going wrong on a worksite, or after you’ve finished a job.

Some insurance policies will let you mix and match different cover options to suit the kind of business you run. While some policies are optional, others may be required by law. If you’re unsure about the type of insurance you need, talk to a business insurance broker or business adviser for help.

Here’s a summary of some common options tradies might consider:

Portable property cover 
This provides cover for loss, damage or theft of items you take with you on the job or store at a worksite, like your tools and equipment.

Commercial motor vehicle cover 
This is cover for the motor vehicle you use to operate your business, also known as your ‘Business Registered Vehicle.’

Public liability cover 
This cover is designed to help protect you from claims of accidental damage or injury caused to others if you’re found to be liable.

Workers compensation cover  
This can help cover claims for work-related injuries and illnesses. This is usually required in Australia if you run a business and have employees working for you. It doesn’t cover sole traders, so if you are a sole trader, you may consider getting personal insurance instead.

Tax investigation cover 
This can help cover the cost of professional fees resulting from an audit or investigation which relates to your business paying a tax.

Remember to always read the Product Disclosure Statement (PDS) for full details of what is and isn’t covered by a policy to help ensure there aren’t any surprises if you need to make a claim.

Just as a client may look up your trade licence and ABN, they may also ask you to produce a certificate of currency (COC). A certificate of currency is a document that confirms your insurance policy is valid and up to date. 
 
Being able to produce proof that you’re currently insured may help you increase your business’s reputation and secure work in some instances, providing peace of mind to clients that you’re prepared for certain risks that may be associated with the job.

There’s no standard price when it comes to insurance, because each business has different needs and requirements. The quickest way to see how much your insurance might cost is to get a quote. To get a quote, you’ll need to provide some information about your business, such as:

• the type of business you run and activities you perform
• when you need the policy to start  
• the type of cover you need  
• whether you’re a sole trader or have employees 
• the state or territory you operate in.