When it comes to electricians insurance, Queensland is unique in its public liability requirements.
Most Australian states require that elections hold public liability insurance, but here in Queensland there is an additional requirement that states the cover must include a special option known as consumer protection.
The Qld State Government requires that all electrical contractors hold an Electrical Contractors Licence, and in order to obtain or renew this licence the applicant must have an appropriate insurance policy in place.
The required insurance is a public liability policy of at least $5 million, plus a special inclusion known as consumer protection insurance.
The amount of consumer protection insurance required is no less than $50,000.
A special certificate of currency is required in order to apply for or renew a licence, and the certificate must be signed and stamped by the insurance broker.
Not all insurance providers offer a public liability policy which meets the Qld requirements.
A better option may be to use an insurance broker, and in particular one that is familiar with the Qld electrical contractor insurance requirements.
Such a broker will not only know which insurers offer the right cover for your licence, but also which ones provide the most competitive premiums.
If you are speaking with your insurance broker and they are not familiar with the requirements, make sure they don’t give you a normal policy as it won’t be good enough for your licence.
Electrical Contractors Licence
Once you have obtained your appropriate public liability and consumer protection insurance policy, as well as the correct Qld State Government approved certificate of currency, you will be ready to apply for or renew your electrical contractors licence.
Of course there are other requirements when applying for a licence, such as having the right qualifications, but generally it is the insurance requirement which holds up most licence applications.
The licensing authority is very specific on making sure the name on your licence application is an exact match for the name on your certificate of currency, so make sure you get the details spot-on in terms of your company or trading name if applicable.
As with all forms of insurance, this price for Qld electrician’s public liability cover can vary from company to company.
A recent survey of insurance brokers revealed a premium of between $550 and $850 per year. If you are quoted higher than this figure it may be worth asking your broker for a better price or to start shopping around.
Your public liability insurance cost can be affected by other factors, so best to check with your broker for the coverage details before rushing off to use someone offering a cheaper price.
Electrical Contractors Insurance
Whilst there are various forms of insurance available to Qld electricians such as income protection and tool insurance, the most commonly required form of insurance is public liability.
Only certain insurance companies offer a policy to suit the Qld electrician requirements, and in order to obtain or renew your licence you will need to be able to confirm your policy meets the criteria.
There are other forms of electricians insurance available and that could be right for you, but public liability (with consumer protection) is the only one that is mandatory for your contractors licence.
Broadform Liability Insurance
A Qld electrical contractor’s insurance policy is based upon broadform liability. Broadform liability is essentially just another name for a public and product liability policy.
A broadform liability policy is generally available in amounts of $5, $10 and $20 million. The minimum requirement for Qld electricians is $5 million.
It is important not to choose a policy based on the broadform coverage alone, as your electrician insurance in Qld must also include consumer protection cover.
Consumer Protection Insurance
All policies which meet the eligibility requirements for an electrical contractors licence in Qld must include a special option called consumer protection insurance.
The requirement for consumer protection insurance is unique to Qld electricians, and is designed to protect the customers of electricians in Qld.
All policies must contain coverage of at least $50,000 consumer protection to be accepted by the Qld government for an electrician.
Certificate of Currency
In order to obtain or renew your contractor’s licence you will need to provide the licensing authority with a copy of your certificate of currency.
You cannot just use any certificate of currency issued by your broker or insurance company. Instead you must have your broker complete the special certificate issued by the Qld government.
The special certificate of currency issued by the government confirms that the policy you have been issued does comply with the broadform liability and consumer protection requirements.
The good news for Qld electricians is that the insurance they need does not have to be expensive.
A suitable policy can be had from around $600 for the minimum acceptable amount of cover. This price can vary depending on the specific details of your business, and the best way to get a firm quote is via an insurance broker.
For more information on the insurance requirements for Qld electricians check out the official government website or contact your insurance broker.