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Self employed insurance

Compare cheap quotes on insurance for sole traders

Compare self employed insurance quotes from UK insurers such as:

 

 

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What is self-employed insurance?

Working for yourself comes with a lot of freedom, but there are risks too. You get the flexibility and independence that comes with being your own boss – but if something goes wrong, you’re on your own. That’s where self-employed business insurance can help.

Insurance for self-employed people protects you against some of the risks that sole traders might face in their business. For instance, you can get business insurance that protects the self-employed against the cost of lawsuits from clients, or claims from members of the public. Getting insured is something all self-employed people should consider – it means that wherever your business takes you, your insurer will have your back.

Do I need public liability insurance if I’m self-employed?

Public liability insurance isn’t a legal requirement – but some companies that work with self-employed people might demand that you have public liability insurance in place before they’ll do business with you. Even if that’s not the case, self-employed people should still consider getting public liability cover, depending on the kind of work they do.

Public liability covers you if you harm a member of the public – by either damaging their property, or causing an injury or death. Even if you’re self-employed, there’s still a risk this might happen. For instance, if you work in construction, falling tools or scaffolding could injure someone on the street. Even if you work from home, it’s worth thinking about – visiting clients or customers might injure themselves in your home, and you could still be held liable.

What type of sole trader insurance do I need?

There are a few different types of business insurance that might be worth getting for self-employed people. These include the following:

  • Public liability insurance

    This covers the costs of third-party compensation claims made against you if you damage someone’s property or cause an injury or death

  • Professional indemnity insurance

    If a client isn’t happy with your work and takes you to court, this covers you for legal fees plus any damages you have to pay

  • Business buildings insurance

    If you have a business premises, or even if you work from home, this keeps you protected against damage to your building

How does self employed insurance work?

There’s a whole range of insurance options available for self-employed people, and they all work to protect you against different risks. If your work takes you out and about and involves interacting with the public, then public liability insurance will pay out if anyone makes a legal claim against you. Or if you work with clients and there’s a risk you could damage their property or reputation, professional indemnity cover is a must.

With optional add-ons, it’s easy to tailor your self-employed insurance to your needs. For instance, you might want insurance to cover your van or car, or to protect any products you have in transit. You might also want insurance to cover any tools or equipment you use for your business – including your home computer. If they’re used for work, they might not be included in your home insurance contents cover, but self-employed insurance can keep them protected.

How much does self employed insurance cost?

There’s no one answer – the cost of self-employed insurance is determined by a range of different factors. Here’s what goes into the price you’ll pay:

  • Your occupation

    Riskier work usually costs more to insure – so an electrician or a builder might find insurance more expensive than a graphic designer 

  • Your location

    Legal expenses and fees vary in different regions of the UK, so where you’re based could have an impact on your premiums

  • The size and turnover of your business

    This is one of the main factors insurance providers look at – bigger businesses often have to pay more for cover 

  • Your claims history

    If you’ve made public liability claims in the past, insurers might think you’re more risky, and they’ll often charge more 

Another factor affecting the cost of cover is which provider you choose. Different providers might offer you a better deal – that’s why it’s always best to shop around for insurance online, so you’re never paying more than you need to.

Neal Cross

Our expert says

"Going into business for yourself can be a great adventure – which might be why more and more people in the UK are choosing self employment. It’s great to be independent and work for yourself, but that doesn’t mean it’s not worth getting a little help to protect you against whatever the future might throw at you. Every self-employed person should think seriously about their insurance needs – it could mean the difference between a thriving business or going broke. Don’t forget choosing fully comprehensive cover and paying annually can bring costs down."

- Neal Cross, senior commercial performance manager for life insurance

Compare self-employed business insurance

We’ve partnered with Simply Business to help you find the cheapest quotes on business insurance for self-employed people. It’s quick, easy, and free – here’s what you’ll need on hand:

  • Your trade or industry

    Tell us what line of work you’re in, and whether you’re a sole trader or if you own a small business 

  • How long you’ve been self-employed

    We’ll need to know how long you’ve been working for yourself to bring you the right deals 

  • Your expected turnover

    Tell us how much you expect to make in the next year – this is one of the main factors insurers use to give you a quote