Limited company insurance

**Jammy Dodger** · 5 April 2007, 08:02

i used caunce ohara...paid about 180 quid.

i did try randell dorling via PCG (for a supposed discount) but they quoted over 300 quid.

**mike mac** · 5 April 2007, 08:15

Thanks Jammy, may I ask what reasons you had for getting the insurance? What was your main concerns?

**Cowboy Bob** · 5 April 2007, 08:26

Originally posted by mike mac

Thanks Jammy, may I ask what reasons you had for getting the insurance? What was your main concerns?

For a start, if you're running a Ltd, I believe that Employer's Liability insurance is mandatory by law.

Second, most contracts will have a clause in it that says you indemnify the agency and client against work done. You are in breach of contract if you don't have it, and will be well out of pocket if anyone feels the need to make a claim against you.

Finally, IR35 insurance is well worth getting. What you need to realise is that if you are ever investigated by the Revenue you need to be able to meet the cost of that investigation - win or lose, you will still have to pay for all your legal/accountancy advice.

**administrator** · 5 April 2007, 09:08

Hi Guys,

Shameless CUK plug for Contractor Alliance - for the £25 sign up fee you get a 20% discount on Caunce insurance plus some other good deals too... £10 off B & C Contract reviews - couple of those and you have covered the joining fee!

CUK Admin

**PAH** · 5 April 2007, 09:48

I think employer's liability is only necessary if your company has employers. Like many things (e.g. minimum wage) they are irrelevant if the company only has you as sole director and no other employees.

Either way, all insurance is about whether you think it's worth paying up front for something you may never need and how much of a risk taker you are. The only exceptions are when it's forced upon you by law, such as motor insurance. I've never had any of these optional insurances, there's always clauses in the policies meaning you can't be sure it's worth the paper it's written on anyway. Bollox to them all, thieving b@stards, imho of course

Has anyone (who's not an incompetent fool anyway) ever required the services of these insurances and actually benefited from them? I don't know anyone, though they may have kept it quiet.

Not saying you shouldn't take advantage of any insurance offers that come with membership to say the contractor's alliance (brown nose time!) or PCG, but don't think that insurance will automatically save your ass as it may not do, so best to try to avoid getting in those situations in the first place.

**Cowboy Bob** · 5 April 2007, 09:54

Originally posted by PAH

Has anyone (who's not an incompetent fool anyway) ever required the services of these insurances and actually benefited from them? I don't know anyone, though they may have kept it quiet.

Luckily I've never been investigated by the Revenue, but I suspect those that have who bought the insurance, have been very thankful that they had it. A 3 year investigation with 3 years worth of accountant/legal fees has got to hurt the wallet, especially if you're one of the unlucky ones who has to go to court. Just to reiterate, you will pay this cost whether you win or lose in an investigation.

**Burdock** · 5 April 2007, 10:00

Originally posted by Cowboy Bob

A 3 year investigation with 3 years worth of accountant/legal fees has got to hurt the wallet.

why do these investigations take so long?

psychological warfare, or sluggish workrate on their part?!

**Darren@UptonAccountants** · 5 April 2007, 12:21

Insurances

Originally posted by Burdock

why do these investigations take so long?

psychological warfare, or sluggish workrate on their part?!

All of the above, plus they're not very efficient in processing paperwork!!

For PII & PL insurances, also take a look at Hiscox

**SomeNewGuy** · 5 April 2007, 13:02

Professional Indemnity insurance

I need to get Professional Indemnity insurance to the value of £2m, as that is stipulated in my contract with my agency.

Just tried Hiscox and was quoted about £900 per annum.

Is this reasonable?
Anyone got any other good quotes or recommendations?

What (other than the price) should I be checking in regard to the insurance cover offered?

Thanks.

Limited company insurance