What about insurance?
What insurance will I need?
1. If you employ people, you’re legally obliged to take out employers’ liability insurance. So, when you start, don’t employ people. If necessary, hire a friend as a self employed contractor.
2. Unless you do some very specific jobs, you aren’t required to take out any other insurance cover. It’s up to you to decide what’s needed for your line of work. However, public liability insurance means that you will be protected if you hurt a passer by or damage a client’s property.
3. If you drive a car or van, you will need vehicle insurance.
4. You could also consider professional indemnity. This is mainly for people who provide advice. It protects you in the event that a client decides to sue you because they think you were negligent.
Some ex-prisoners start work without insurance, build up some spare cash for three months, and then get insurance.
The following companies offer insurance cover for ex-prisoners.
Redundancy Protection (an odd name?)
If you get any information or have thoughts about about insurance, let us know, so we can add it to the website and help others in your situation.
One ex-prisoner’s report
When I left prison I attempted to get vehicle insurance, and was honest about my convictions. The cheapest insurance quote was over £3,000. But if I withheld my convictions it was just £480.
Recently I’ve been setting up a new business installing CCTV. It involves working at heights and in dangerous environments such as power stations.
When I applied for public liability insurance (PLI) under my own name, stating that I had convictions, I was refused an online quotation and had to call them to discuss the matter further. After a brief chat with an advisor, I pushed him for an estimate before I would go ahead with giving him further details. He estimated £3,500-4,500 a year for standard cover or around £6,000 for dangerous environments.
However, later on we decided to become a limited company and I was now an employee. The PLI was taken out in the Managing Director’s name and I’m now covered as an employee. The cost was £657 for standard and £1,308 for dangerous environments.
By law you don’t have to have public liability insurance to work in private homes. But it would be pointless lying, because if you harm someone and they make a claim, and you are found to have lied in your application, the insurance company won’t pay out.
If you are considering working in commercial properties, PLI is a necessity, as the company will demand to see your documents before they will allow you to work.
(G. Thomas KT8990)