Home Insurance and Tradespeople — What You Need to Know

Most home insurance policies require you to notify the insurer if you are having significant building work done. "Significant" typically means structural alterations, extensions, or work that leaves the property partially open (roof removed, walls opened up). The policy definition varies — read your policy documents or call your insurer. Notification does not necessarily mean your premium will increase, but it does mean you will not have a claim refused on the grounds of non-disclosure. Some insurers apply a restriction during the work period (no cover for damage caused by the contractor); others extend cover as normal. Know what your policy says before work starts.

If you do not notify your insurer as required and then make a claim, the insurer may: pay the claim in full; reduce the payout (proportionate reduction for the increased risk you created); or reject the claim entirely on the grounds of material non-disclosure. The last outcome is the worst case scenario — a flooded kitchen with no insurance cover. The risk is low if the work is minor, but significant for major renovations. The cost of a phone call to your insurer before work starts is zero. The cost of a rejected claim could be enormous.

Your tradesperson's public liability insurance covers accidental damage they cause to your property during their work — a drill through a pipe, a scaffold pole through a window, a power tool dropped on a floor. It is their insurance that pays out in this scenario, not yours. But for their insurance to pay out, you need evidence that the tradesperson has valid insurance. Ask for a copy of their public liability certificate before work starts. If they cannot produce one, their insurance claim is unenforceable — and you are left claiming on your own policy or pursuing them personally.

If a tradesperson is injured on your property, you might expect their own public liability insurance to cover it. In fact, if you are directing their work, controlling when and how they do it, or they are working exclusively for you for an extended period, HMRC and courts may classify them as a "deemed employee" — which means you could have an employers liability obligation. Most homeowners will not face this scenario, but it is worth being aware of for larger, longer projects. A contractor who carries their own employers liability insurance (which is legally required if they employ others) eliminates this risk entirely.

If you move out during a major renovation, your home insurance policy may apply a "vacant property" exclusion after a certain period — typically 30–90 days. This is significant because major renovations often take longer than expected, and the period when the property is physically open (roof off, walls open) is also the period of highest risk. Contact your insurer before vacating the property. You may need to pay an additional premium for vacant property cover, or take out a separate short-term vacant property policy. Failure to notify can result in claims being rejected entirely.

For major projects (typically over £50,000), a "contract works" policy covers the partially completed building works against damage during construction — fire, storm, flood, vandalism. For domestic projects, the main contractor often provides this as part of their insurance. Confirm who arranges and pays for it before contracts are signed. JCT contracts have provisions about insurance responsibility that should be read carefully. If the contractor provides contract works insurance, ask to see the certificate and confirm the level of cover.