For most small businesses, comparison sites have become the default way to buy insurance. You enter a few details, scroll through a list of prices and pick the cheapest one that looks reasonable. It’s quick, and for a car it often works.
For builders, electricians, plumbers and other British trades, it’s a different story. The cheapest quote on a results page is only a bargain if it covers the work you actually do. When it doesn’t, the gap tends to show up at the worst possible moment: when a claim lands on your desk.
How do comparison sites decide what you need?
Comparison sites work by asking every customer the same short set of questions, then sending those answers to a panel of insurers. That standardisation is what makes them fast. It’s also their main weakness for trades.
A typical journey asks for your trade, your turnover, the number of staff and the level of cover you want. What it rarely asks about is how you work. Do you work at height? Do you use blowtorches or other heat? Do you take on subcontractors, work on commercial sites or do the odd job abroad? Those details decide whether a policy will pay out, but a drop-down menu has no room for them.
Many tradespeople in the UK end up with a policy that fits the form rather than their business, and nobody is there to point out the mismatch.
What can a specialist broker do that a comparison site can’t?
A broker that specialises in trades starts from the work, which changes the conversation in a few ways.
They know your trade’s risks. A broker that insures roofers, joiners and electricians every day knows the claims those trades tend to face. They’ll ask about height limits, heat work, depth of excavation or the types of property you work on, because they know those are the points where policies differ.
They can explain the small print. Exclusions, endorsements and excesses vary widely between policies. A good broker will tell you what isn’t covered before you buy, so you can decide whether that matters for the jobs you take on.
They build cover around how you work. Many trades need more than one type of protection. Alongside public liability, you might need employer’s liability (a legal requirement once you take on staff), cover for tools left in a van overnight, or contractors’ all risks for work in progress. A specialist can put those together in one policy instead of leaving you to guess which add-ons matter.
They help when something goes wrong. At claim time, it helps to deal with a firm that already knows your policy and your trade. With a comparison site, the relationship usually ends at the point of sale.
A builder’s story: covered versus underinsured
Consider a small building firm. The owner, who we’ll call Dan, runs a three-person team doing extensions, loft conversions and the occasional roof repair.
When his renewal comes round, Dan goes onto a comparison site. He picks “builder” from the list, enters his turnover and chooses £1 million of public liability cover. The cheapest result looks fine, so he buys it in ten minutes.
What Dan doesn’t spot is the wording. Like many standard policies, it limits the height he can work at and excludes certain types of heat work. His loft conversions and roof repairs sit outside those limits. On paper, Dan is insured. In practice, a large part of his work isn’t covered.
Months later, a slate slips during a roof repair and damages a neighbour’s conservatory and car. The claim is turned down because the job was outside the policy’s limits. Dan is left with the bill, and the legal costs that come with it.
Now imagine Dan had gone direct to a specialist trade broker. Tradesman Saver, for example, has been insuring businesses since 1984 and doesn’t sell through comparison sites. A broker like that would ask about the height and type of work before quoting. Dan’s policy would reflect his loft and roof jobs from the start, with employer’s liability for his team and cover for his tools added in. He might pay a little more than the cheapest result online, but the policy would actually pay out when he needs it.
Is going direct always more expensive?
Not necessarily. Some specialist brokers don’t list their products on comparison sites at all, which means you won’t see their prices unless you go to them directly. Selling direct can also cut out the commission comparison sites charge, and some brokers pass that saving on to customers.
It’s also worth thinking about what “cheap” really means. A policy that saves £30 a year but excludes a third of your work isn’t good value. The real cost of being underinsured is the claim you end up paying yourself.
What should you check before buying cover?
However you buy, check these points first:
- Does the policy cover every type of work you do, including height, depth and heat work?
- Is the level of cover enough for your clients? Many commercial clients and councils ask for £5 million or more.
- Do you need employer’s liability for staff, labourers or some subcontractors?
- Are your tools and equipment covered, including when they’re left in a vehicle?
- What are the excesses, and can you afford them if you claim?
- Who will you deal with if you need to make a claim?
If you’re unsure on any of them, speak to a broker who knows your trade.
The bottom line
Comparison sites are useful for simple, standard products. Trade insurance is rarely simple. Your risks depend on what you build, fix or install, and the right policy should reflect that.
If you’re reviewing your cover, start with the basics. Make sure your public liability insurance matches the work you actually do, then build from there with a specialist who understands your industry. A few minutes on the phone now can save you thousands later.
