Joinery businesses, like other trades in the construction industry, face specific risks that often lead to insurance claims. Understanding these can help in implementing preventive measures to safeguard your operations.
Here are some key risk considerations:
- Tool and equipment theft: Tools are essential for joinery work and are often targeted for theft due to their value and portability. Implementing robust security measures, such as secure storage and inventory management, can help mitigate this risk.
- Property damage: Accidental damage to clients’ property during installation or renovation work is a common claim. Adhering to best practices and ensuring careful handling of materials can reduce the likelihood of property damage.
- Water damage from installation errors: Inadvertently puncturing plumbing lines during cabinet or fixture installations can cause leaks, leading to water damage. Conducting thorough site assessments and using stud finders to detect hidden utilities can help prevent such incidents.
- Injuries to third parties: Visitors or clients may sustain injuries on the worksite, leading to liability claims. Maintaining a safe work environment and clearly marking hazardous areas can help prevent accidents.
- Employee injuries: Workers may suffer injuries due to the physical nature of joinery work, leading to workers’ compensation claims. Providing proper training and personal protective equipment (PPE) can enhance workplace safety.
- Damage to ongoing projects: Partially completed work can be damaged by unforeseen events, such as weather incidents or vandalism. Implementing site security measures and protecting work areas from environmental factors can help mitigate this risk.
Insurance coverage for joinery firms
Because of these risks it is essential to have comprehensive insurance coverage to protect against them. Here are key types of insurance recommended for joinery firms:
- Public liability insurance: This covers legal and compensation costs if your business activities cause injury to third parties or damage to their property. For example, if a client trips over your equipment on-site and sustains an injury, public liability insurance can cover the associated costs.
- Employers’ liability insurance: If you employ staff, this insurance is legally required in the UK. It covers claims from employees who suffer work-related injuries or illnesses. Failure to have this coverage can result in significant fines.
- Professional indemnity insurance: This protects against claims arising from professional mistakes or negligence, such as providing incorrect advice or design errors that lead to financial loss for a client.
- Tools and equipment insurance: Your tools are vital to your trade. This coverage protects against loss, theft, or damage to your tools and equipment, ensuring you can replace them promptly and continue operations without significant disruption.
- Contract works insurance: Also known as Contractors’ All Risks Insurance, this covers ongoing construction projects against risks like fire, theft, or flood. It ensures that work already completed is protected and can be redone without additional cost if damaged.
- Commercial vehicle insurance: If you use vehicles for business purposes, such as transporting materials and tools, commercial vehicle insurance is necessary. It covers accidents, theft, and damage involving your business vehicles.
- Business interruption insurance: This provides coverage for loss of income if your business operations are disrupted due to unforeseen events like fires or floods, helping you manage ongoing expenses during the interruption period.
- Product liability insurance: If your joinery business manufactures or supplies products, this insurance covers claims arising from injuries or damages caused by defects in the products you provide.
Where to get help?
By understanding and addressing these risks, joinery businesses can create a safer working environment and protect themselves from potential liabilities and financial losses.
If you have a joinery business contact your local Howden branch for specialist insurance and advice. If you would like a specific Howden contact then please speak to Ross King, Commercial Account Executive from our Chelmsford branch, on 01245 408 260.
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- Could your SME be one claim away from going under?
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This is a marketing blog by Howden Insurance.