Professional Indemnity for Tradespeople
Advice on site? Keep cover on side
Professional Indemnity insurance for tradespeople delivering design, advice or sign-offs as part of their work.
The moment it matters
When the new café opened, Sparky Watts was proud of the electrical layout he’d designed and installed - efficient lighting, clean switchboard work, every circuit mapped out.
But within weeks, a fault in the design caused an overload that shut down half the premises. The entire wiring run had to be redone, and the client claimed the costs back from Sparky’s business.
The issue wasn’t the workmanship. It was the design. That’s where Hutch PI for Tradespeople made the difference. It protects trades who provide qualified design or advisory work as part of their service. The claim was managed quickly, and Sparky was back on the tools with his business intact. That’s the clear way to better cover.
Coverage at a glance
Insuring Clauses (core sections)
Professional Indemnity: Covers civil liability arising from professional services such as advice, design, certification or documentation provided in the course of trade work. Written on a claims-made and notified basis. Defence costs are payable in addition to the limit unless stated otherwise on the Schedule.
Cyber: Starter level of cyber protection for defined first-party and third-party events, with sub-limits shown on the Schedule (when included) Available on Sunrise as a separate section; on SCTP it is provided via an endorsement applied to all quotes (aggregate limit as shown on the Schedule).
Who it’s for
Licensed trades who provide qualified advice, reports, specifications or design work as part of their services - for example, electricians, carpenters and tilers undertaking activities that extend beyond manual installation. It also suits practitioners required to hold Professional Indemnity insurance under the Design and Building Practitioners Act 2020 (NSW). Suitability depends on the scope of services, contracts and licensing. All activities must be performed within the appropriate trade licence or registration.
Key Optional Extensions
Mitigation Costs: Covers reasonable costs incurred to prevent or reduce the likelihood of a potential claim, where approved by the insurer and arising from professional services.
Sudden and Accidental Pollution: Covers sudden and accidental pollution arising from professional services, where the event is unintended and occurs during the period of insurance.
Previous Business: provides cover for professional services undertaken before the policy inception date, when performed by a director, partner or principal of the insured under a prior business of the same nature, as disclosed and noted on the Schedule.
Also see: Financial Services Guide (FSG)
Key Covers
- Civil liability for advice, design, reports or certification performed in your professional capacity.
- Defence Costs: included within the Limit for covered claims, unless stated otherwise on the Schedule. We may advance reasonable defence costs subject to policy conditions.
- Mitigation Costs: This optional extension covers reasonable costs incurred to prevent or reduce the likelihood of a potential claim, where approved by the insurer and arising from professional services.
- Investigation and disciplinary proceeding costs arising from professional services, where provided by the wording (sub-limits apply).
- Loss of documents, defamation and unintentional intellectual property infringement arising from professional services, where covered by the wording.
- Optional extensions available for Previous Business Activities and Sudden and Accidental Pollution, when shown as “Insured” on the Schedule.
- Cyber cover for defined first-party and third-party events, with sub-limits shown on the Schedule (when included).
Appetite & Fit
(quick guide)
| Typically suitable for | May not be suitable for | Not suitable for |
|---|---|---|
Trades who routinely provide advice, sketches, specifications or sign-offs as part of their work - such as carpenters, electricians, tilers, painters or cabinetmakers, where a professional services exposure exists. Suitable for licensed trades with up to $5M in annual turnover. Coverage applies where liability arises from professional advice or design, not manual workmanship. |
Suitability depends on how the advice is delivered, the contracts in place and the extensions requested. If there is no design or advice documented as part of services, the policy may not respond. If you're unsure, send us a short summary or sample contract and we'll review it quickly. Referrals are always welcome. |
Businesses that primarily perform construction, installation, demolition or fabrication work without any professional services component. Activities carried out without the required trade licences or registrations are also excluded. Where the exposure is mainly workmanship or physical construction, a Design & Construct or the Public Liability section within our Trade Pack may be more appropriate. |
Examples only. Subject to underwriting. Always refer to the current Policy Wording for terms, conditions, limits and exclusions.
Broker FAQs
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Is this wording different from a generic liability policy?
Yes. This policy includes Professional Indemnity cover designed for trades who provide advice, design, certification or other professional services as part of their work. A generic Public Liability policy responds to physical injury or property damage arising from workmanship, not advice. This wording covers civil liability for professional services — protection that a standard liability policy does not provide.
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How is ‘professional service’ defined for tradespeople?
Non-engineering advice, design, plans, specifications, certifications related to the trade service, whether written or verbal, standalone or embedded in a job, where the claim arises from that service. (Refer to civil liability insuring clause scope.)
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Does this cover workmanship or construction defects?
The focus is professional services. Pure workmanship or construction defects are not covered. The wording provides a specific write-back linked to professional services, and only up to stated limits. Check the Policy Wording and Schedule.
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Is cover costs-exclusive or inclusive?
The wording is designed to provide costs and expenses included within the limit for covered claims.
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What about past work?
The cover is limited by the retroactive date. This must be agreed and noted, please provide details of prior cover held and the retroactive date for our consideration to match. If no previous cover is held, the retroactive date would be the start of the policy first held with Hutch.
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What documentation do I need to quote?A brief description of the professional services, turnover estimate/latest financials, licences/registrations held, claims history, and a sample contract or T&Cs. For renewals, include retroactive date and any material changes. (Claims-made basis applies; see wording.)
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How do I place this?
- Review the docs – Download Policy Wording (HCL1TR).
- Quote – Use Ebix Sunrise Exchange or SCTP.
- Bind - Bind and Close instantly.
- Issue Documents – Issue automatically generated Schedule and CoC; and share with your client.
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How do I lodge a claim?
Notify Hutch Claims as soon as practicable and provide relevant documents (contract, scope, correspondence). Our in-house claims team will confirm next steps.
Why Brokers Choose Hutch
A broker-first quoting experience, built for trades who also give advice, design, or sign-offs as part of their work.
Fast, smart quote pathways within Ebix Sunrise Exchange and SCTP mean brokers can enter, quote and bind in minutes. No double-keying. No closings. Invoices auto-populate.
When a referral is needed, you won’t be waiting long. Our Financial Lines Underwriters typically respond within one business day and are always happy to discuss scope, contracts, or how professional advice fits into a tradie's exposure.
Our wording is purpose-built for trades providing professional services, not retrofitted from a general liability policy. Optional extensions like Mitigation Costs, Previous Business Activities, and Sudden and Accidental Pollution align cover with how tradies actually operate.
Built for brokers. Designed for your clients' modern-day complexities. Backed by Lloyd’s.
The clear way to better cover.
Downloads
Policy Documents
Underwriter Spotlight
Ross Chambers
Head of Financial Lines
Ross brings a rich work history and a passion for insurance intricacies. Armed with a double degree in Economics and Finance, Ross began his career in a graduate program, where he gained exposure to diverse insurance facets, sparking his industry interest. Transitioning to underwriting in 2014, he specialises in professional indemnity insurance, relishing its complexity.
This page is intended for licensed insurance brokers. General advice only. It does not take into account your client’s objectives, financial situation or needs. Coverage is subject to the terms, conditions, limits and exclusions in the Policy Wording. Available via Ebix Sunrise Exchange and SCTP. Hutch follows the General Insurance Code of Practice and ASIC RG 234 guidance in our communications.