Many companies are left to pick up the cost of damages caused by sub-contractors that do not have their own insurance cover in place or where sufficient checks have not been carried out.
Differentiating between bona-fide and labour only sub-contractors can be complex, so it is vital to get it right.
If a bona-fide sub-contractor doesn’t have Public or Employers’ Liability insurance and an accident happens, your business could be liable for the legal defence costs and subsequent damages.
If you haven’t notified your liability insurers that you use labour-only sub-contractors, then your insurers may not cover them under your insurance.
To help, we have put together some guidance on the following areas:
The difference between bona-fide & labour only sub-contractors
What risks are involved in appointing sub-contractors
How to check their insurance and what to look for
Insurance conditions that you need to be aware
Claim examples
To download the guide please click the link below.
Northern Risk Solutions are independent Insurance Brokers. We provide Insurance and Risk Management solutions to construction companies and developers. If you would like to discuss your self build or renovation, we would be delighted to hear from you.