Picture this:

You’re working in a bustling worksite…

You’re crafting a sturdy timber frame…

Suddenly, you dropped a tool. Or damaged the client’s floor.

Your masterpiece ended up being a costly nightmare.

For carpenters, the trade demands precision, expertise, and resilience. And such risks are part of the trade.

However, with the right insurance, they don’t have to be a setback that halts your business.

Whether you’re a sole trader, subcontractor, or managing a small carpentry business, a suitable carpenter insurance is important to keep your livelihood going. 

Let’s explore crucial insurance for carpenters.
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1. Public Liability Insurance

Picture yourself installing a new kitchen. 

Then, a misplaced tool damages a client’s expensive countertop. Or worse, someone trips over your equipment and gets injured. 

These mishaps can lead to costly claims, and that’s where Public Liability Insurance saves the day.

Why You Need It: A lot of Australian construction projects require contractors to obtain Public Liability Insurance. 

It is considered as a standard requirement for both residential and commercial worksites.

‍What’s Covered: Depending on the size of your project and the risks you face, Public Liability Insurance typically offers over millions in coverage. 

The coverage includes legal fees and compensation costs arising from damage to someone else’s property, or injury to another person caused by your work.

For example, a dropped tool damaging a client’s property or an onsite accident involving a bystander could lead to substantial claims, so getting it will definitely save your day. 

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Pro Tip: To maximise your Public Liability Insurance, always ensure that your policy aligns with project requirements. This will help you to stay compliant with worksite standards and to lessen extra expenses if a claim arises. 
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2. Tool Insurance

As a carpenter, your tools are your bread and butter. 

They aren’t mere equipment, they’re your investments. 

You might as well give them comprehensive protection against theft or damage. 

That’s where Tool Insurance steps in. 

Why You Need It: Carpenters and other tradies in Australia lose millions each year due to stolen tools. 

Last 2024, around $30 million worth of tools have been stolen by thieves. 

Getting Tool Insurance is a must for a carpenter who depends on tools for a living. 

What’s Covered: Tool Insurance policies often provide cover for:
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• Loss of tools stolen from a locked vehicle, worksite, or premises.
  
  
• Repairs or replacement of tools damaged by fire, vandalism, or accidents, such as vehicle collisions.
  
  
• Handheld tools, power tools, mobile devices, and sometimes even the stock you use for trade.
  
  
• Expensive equipment, usually up to $25,000.

Pro Tip: List your high-value tools separately on your policy to ensure full coverage, be it your pricey drop saw or a set of chisels.
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3. Personal Accident and Illness Insurance

Carpentry is physically demanding. 

It has its dangers. Think falls from ladders, cuts from power tools, or even long-term back issues.

What would you do in case something happens to you? 

That’s why Personal Accident and Illness Insurance is a must-have insurance for carpenters. 

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Why You Need It: Carpenters are commonly self-employed. This means that they don't get sick leave or workers’ compensation. Having income protection is really vital. 

What’s Covered: Personal Accident and Illness Insurance often covers a maximum of 80% weekly income within a specific period, say 36 months. 

Some also cover accident-only options for cheaper premiums.

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Pro Tip: Assess your monthly expenses and select a policy covering at least 80% of your income to keep your finances stable. Additionally, you can opt for a policy that has flexible waiting periods and benefit durations tailored to your specific financial needs. 
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Additional Tip for Carpenters with Employees

If you’re doing work solo, you can skip this one. But if you have staff or employees, you must never forget Workers’ Compensation. 

It is mandated in every Australian state, although requirements may vary. 

It covers medical bills and lost wages if your team gets injured or falls ill on the job.

If you want to protect your team while maintaining your business’ smooth flow, Workers’ Compensation is a must-have for you. 
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Protect Your Livelihood & Nail Your Job with Confidence

Being a carpenter requires you to juggle skill, safety, and business smarts. 

To protect your business from financial fallouts resulting from accidents, theft, or injuries, you must make sure to get the right coverage. 

As an insurance broker in Sydney, we will help you look for a policy that offers comprehensive protection, made to fit your project requirements and risk levels. 

Ready to get covered? Reach out to Tank Insurance now! Let us help you stay safe so you can focus on what you do best: crafting.