Sub Contractors Insurance is one of the most misunderstood topics that we get asked about at imar. And we get asked a lot.

Our Client Managers chat daily with tradies about the requirements for Sub Contractors Insurance.

A lot of subbies think if they work for the same guy every day, that his insurance will cover them. Sometimes, the guy they work for has to cover them for Workers Compensation, so surely his Public Liability would cover them too?

Unfortunately, it usually doesn’t.

The difference is that Workers Compensation is often regulated by State Governments, who may classify subbies as employees for the purposes of workplace injury, whereby Public Liability Insurance is generally underwritten and classified directly by Insurance Companies.

It is the general view of Insurance Companies that each and every subbie is effectively their own business, and should have their own policy.

Conversely, if you hire subbies, just because you pay Workers Compensation for them doesn’t mean that your Public Liability covers them. It usually doesn’t.

Bottom line is – with the exception of Workers Compensation in some cases – subbies are their own legal entity, and are responsible for their own Sub Contractors Insurance.

It’s extremely important as a Principal Contractor that you ensure every subbie you engage carries their own Sub Contractors Insurance, by requesting a Certificate of Currency from them.

This not only protects you, but the subbie as well. Some people are just simply unaware of what they do and don’t need when it comes to insurance.

At imar we specialise in all forms of Sub Contractors Insurance.

Our dedicated team of Client Managers have a wide range of experience with dozens of different trades in all Australian states; they’re up to speed with State Government requirements and the individual Insurance Company products in the market place.

For an obligation free discussion and review of your business, contact the trade insurance experts at imar today – visit https://www.imar.com.au/contractors-insurance/