The insurance required by a trade business depends on the work performed, business structure, equipment, vehicles, employees, subcontractors and contractual or licensing requirements.

There is no single insurance package that suits every tradie.

Common insurance covers for tradies #

Public Liability Insurance can cover certain liabilities arising from third-party personal injury or property damage connected with your business activities.

Portable tools can commonly be insured under General Property cover, while larger machinery may require Plant and Equipment Insurance.

Commercial Motor Insurance may be appropriate for utes, vans, trucks, trailers and other vehicles used for business. The vehicle should be insured for its actual business use.

Businesses employing workers may have Workers Compensation obligations. Requirements vary by state and territory and should be checked with the relevant Workers Compensation authority.

Contract Works Insurance can be relevant where the business is responsible for construction work, materials or projects during construction.

Other covers that may be relevant #

Professional Indemnity Insurance can become relevant where the business provides professional services such as design, specifications, certification, consulting or advice.

Management Liability Insurance can cover certain risks associated with operating and managing a business, subject to the policy.

Cyber Insurance may be relevant where the business relies on email, cloud systems, electronic payments or stores client and employee information.

Sole traders and working owners may also consider personal accident or illness cover where an inability to work would affect their income.

Trade-specific requirements #

Some trades and jurisdictions have specific licensing or insurance requirements.

These should be checked against the relevant regulator rather than assuming requirements are the same throughout Australia.

Contact our team if you would like help identifying the insurance exposures relevant to your trade business.