Locksmith insurance: Why you need it and how to save on it

Being a locksmith is a varied and rewarding career but it’s not without risks. Getting the right locksmith insurance will ensure you’re able to carry out your job with peace of mind.

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No matter how careful you are, accidents happen! Whether you damage someone’s front door or lose your tools, having the right locksmith insurance ensures you’re not left out of pocket.

In this guide to insurance for locksmiths, we’ll talk you through everything you need to know. From what locksmiths’ insurance covers to how much it costs.

Do locksmiths need insurance?

As a locksmith, you’ll be working out and about. Usually at someone’s home or a business premises. Of course, we hope that your work goes smoothly. But there’s always a risk of things going wrong.

What happens if someone trips over your tools and injures themselves while you’re working? What if you accidentally damage someone’s property while trying to get them into their house?

These incidents could all leave you seriously out of pocket.

Locksmith insurance helps you financially in the case of unfortunate mishaps so that they don’t drain your business finances.

If a claim is made against you, having the right locksmith’s insurance in place could ensure that your legal fees are covered. It could also ensure the compensation is paid on your behalf.

What insurance cover should a locksmith have?

There are a few different types of insurance for locksmiths that could help to give you peace of mind. Getting the right combination can ensure that all aspects of your business can be protected. From your business and assets to your earnings.

• Public liability insurance: Covers you if you injure a member of the public or damage their property

• Tools insurance: Pays to repair or replace your tools if they’re damaged, lost or stolen

• Employers’ liability insurance: Covers you if one of your employees hurts themselves on the job

• Personal accident insurance: Replaces your lost income if you or an employee are unable to work due to an accidental injury

Usually, an insurance provider will be able to pull together the different types of cover you’d like into one policy. This way, your locksmith’s insurance can be tailored to your business. And you’ll only have to pay for the cover you actually need.

What does locksmith insurance cover?

Here are a few scenarios that we hope won’t happen. But that could be made a whole lot easier with the right locksmith insurance.

• If someone trips over your toolbox and breaks their leg while you’re changing a lock

• If you break a piece of art in a client’s house while installing a security system, could you afford to replace it?

• If one of your employees trips over a client’s doorstep while at work and injures their head, you could have a costly claim brought against your business

• If you get hit by a car while repairing the lock on a motor vehicle, you could end up in hospital and unable to work

Obviously, every insurance policy includes different forms of cover and exclusions. Therefore, make sure to check the details and speak to the insurer to ensure the right level of cover for your business.

Is it mandatory to have locksmith public liability insurance?

No – the only locksmith insurance that’s legally required is employer’s liability insurance if you have employees. If you don’t have employers’ liability insurance, you could be fined up to £2,500 a day for each employee!

However, even though locksmith public liability insurance isn’t a legal requirement, it’s very important for your business. And you may even struggle to do your job without it!

There are many reasons to get public liability insurance for your locksmith business. Indeed, many clients will want reassurance that you’re insured before choosing your business to complete their job.

Locksmith insurance cost

The cost of insurance for locksmiths will depend on lots of different factors.

These include:

• The type of cover you need

• The type of work you do

• Your turnover

• Whether you need cover for employees

• Where you work

• Your claims history

• The excess and maximum payout you opt for

• Whether you’re a sole trader or a limited company

• Your level of experience

Locksmith’s insurance should be seen as a vital business expense. So make sure you deduct it from your locksmith earnings when calculating your profit. One way to save money on your locksmith insurance is to become a Checkatrade member. This brings us to…

Save money on your locksmith insurance as a Checkatrade member

Become a Checkatrade member and you could save an impressive 20% off your public liability insurance. Log into our Member's Area to check the latest deals!

You can also add extra cover to suit the needs of your growing business. Such as employers’ liability insurance, tools cover, and more. That way, you’ll be able to go to work knowing you have all the protection you need.

Content disclaimer: This content has been created for general information purposes and should not be taken as formal advice. Read our full disclaimer here.