Why do Contractors Need Insurance?The majority of limited company contractors and freelancers will hold some kind of insurance, whether that be standard contractor insurance, professional indemnity or liability insurance. The precise policy will differ according to the type of work you are carrying out for your clients. For example, a builder and a freelance writer will have different needs with regards to their insurance. As a contractor or freelance worker, you do not have the same stability or safety net that an employee of a company would; you do not have a guaranteed, regular salary either, so insurance is absolutely vital. Without it, you could be left to pay thousands of Pounds for repairs and other things that may need replacing to help your business function at all.
What Kinds of Policies Should You Consider?The most common contractor insurance policies held by both freelancers and contractors are include:
- Professional Indemnity Insurance
- Public Liability Insurance
- Employers Liability Insurance