Builders’ insurance
Business insurance designed for builders and tradespeople
- Get standalone public liability insurance or build a policy that works for your business
- Manage your policy as your business evolves. As your projects, tools, or team grow, you can add or change your cover at any time through your online account for free*
- Get customer offers and rewards from our partners when you get business insurance with AXA†
Why do builders need business insurance?
Construction is one of the UK’s largest sector’s, employing over 6% of the UK workforce. Business insurance is essential to protect you against the consequences arising from accidents or damage.
If you as a builder cause accidental damage or injury to a third party, or if an employee is injured on the job, business insurance helps cover legal fees, compensation and repair costs. It can also cover damaged or stolen tools and ongoing work on construction sites.
Is it a legal requirement for builders to have business insurance?
Business insurance itself is not legally required in the UK. However, if you have employees, you must have Employers’ Liability Insurance under the Employers’ Liability Act 1969. Additionally, most clients, including local councils and businesses, may require insurance before hiring you.
How much does builders’ insurance cost?
The cost of builders' insurance varies based on several factors that will impact your premium:
- Type and level of cover - Increased protection and optional extras like business equipment cover can change the cost of your policy
- Type of work undertaken – the nature of your work will impact the cost of your policy – the riskier the work undertaken, the higher your premium may be
- Size of the business – if you have a larger business with employees, there’s a bigger chance that you’ll encounter a claim, and your insurance costs will likely reflect this
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Your annual turnover - Businesses with larger turnovers will need a greater level of protection and the cost of your insurance will likely also change.
AXA customers pay from £76* per year for business insurance. Find out what your policy could costs by getting a quote below.
*10% of our customers paid from £7 for ten months between January and March 2026 after an initial deposit. Interest applicable. For more details see our terms & conditions.
What covers do builders need?
With AXA you can pick which covers you want to take out to build your business insurance package. This way you’re only ever paying for the covers you need. Here are the main covers you may want to consider.
Public liability insurance for builders
Public liability is there to protect you from claims made against your business by third parties for claims arising from accidents or accidental damage. Here are a few scenarios where public liability insurance is an invaluable investment for your business:
- You’re clearing the ground for your work to begin and someone trips on the uneven ground and gets hurt
- You’re working on an extension, but your work has weakened another part of the building. As a result, someone has gotten injured when part of a wall collapsed.
Employers' liability insurance for Builders
Employers’ liability is a legal requirement under the Employers’ Liability Act 1969 if there is anyone working for you. This doesn’t just apply if you have full and/or part-time employees, but also if you have:
- Laborers you hire
- Temporary staff, apprentices, and volunteers
- People taking part in work experience or training schemes
It covers you if anyone in your employ falls ill or gets injured as a result of working for you. It will help you cover the cost of compensation or medical costs.
Tools insurance for Builders
Tools insurance comes in two forms: Own plant tools and equipment and Hired-in plant tools and equipment. Both covers offer protection for tools against accidental damage and theft.
The main difference here is that own plant tools and equipment covers tools that your business owns, whereas hired-in plant tools and equipment covers any larger tools or pieces of equipment you’ve hired to use for a specific job.
As a builder, what additional covers can I get?
There are several optional additional covers that you may want to add to your policy package to ensure that you are getting comprehensive cover for your business.
If you feel like you need a little more cover, we have a selection of additional covers that you can add to your policy.
Contract works cover
If you’re building a new house or extending a property contract works cover, will cover damage caused to any work that you’ve already completed on a job if something goes wrong
Legal expenses
Legal expenses cover can help with the cost of legal action, such as contract disputes or employment claims, giving you access to legal advice and support if issues arise
Workshops Cover
If you have a workshop, shed or a container at your premises where you do work, this covers your tools, stock, machinery against fire, flood, storm and theft. You can choose a level of cover that reflects the value of your workshop and its contents.
Van insurance
As a builder, you’ll need to move tools, equipment, and materials around daily. If you’re using a van to transport things back and forth then you’ll benefit from having van insurance to protect you when you’re on the road.
Please note: Van Insurance can’t be added to your business insurance policy, but it can be purchased as a separate policy.
Do self-employed builders need insurance?
Yes, self-employed builders still require insurance to protect their business and financial stability. Public liability insurance is particularly important to cover potential claims from clients and third parties.
However, if you work alone and do not employ anyone, you will not need Employers’ Liability Insurance as it’s only required for businesses with employees.
Frequently Asked Questions
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†In order to receive updates about new partner offers and discounts as they become available, you must be opted in to marketing when you buy your policy.
*There is no fee to make changes to your policy, however if the change you make affects you cover(s) chosen, or the level of cover you need, your premium cost will change to reflect this.