If you’re a licensed electrical contractor in New South Wales you may need public liability insurance.
Public liability is one of the most important forms of insurance that an electrician can have, and is many cases it will be mandatory.
What is Public Liability?
Public liability will protect you as an electrician if your work results in property damage or personal injury to another person, and it is shown that negligence was a factor.
For an electrician, this could involve faulty wiring work that causes a fire and damaged property, or that results in electrocution to someone else.
Although Fair Trading NSW does not list any specific insurance requirements on their website (click here) it is widely accepted that public liability is vital for a licensed electrician.
Most building and construction companies will require that all electricians on site have public liability insurance of at least $5 million.
In addition to public liability, many work sites will also have mandatory income protection requirements for all self-employed and subcontracting electricians.
Master Electricians Australia is also a strong advocate for sparkies having public liability insurance, as outlined in this article about an electrician who received a lifetime ban in NSW.
The public liability insurance cost for an electrician will vary depending on your business.
If you are a sole trader working on domestic and light commercial projects the cost of public liability can be as little as $450 in NSW.
If however you are working on larger projects or have multiple staff working for you, the cost can increase dramatically, especially if you are working on locations such as mines and quarries.
For more information about public liability insurance in New South Wales please speak with your insurance broker.