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House & contents insurance

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Upon carefully reading my house and contents insurance policy, I see that there is an option for "domestic workers compensation" insurance . Apparently this is to cover the likes of gardeners, painters or anyone else you might have working around the house and is available in some states only (at least that's what the insurer's website says).

Now, I'm planning to get some work done around the house by a builder. Do I need to be taking out insurance in case they injure themselves whilst on my property? I currently have legal liability insurance, but not "domestic workers compensation" insurance.

I had always assumed that anyone in business would insure themselves (rather than their customers needing to do so) but seeing this on the policy is making me question exactly what the situation is.
 
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Upon carefully reading my house and contents insurance policy, I see that there is an option for "domestic workers compensation" insurance . Apparently this is to cover the likes of gardeners, painters or anyone else you might have working around the house and is available in some states only (at least that's what the insurer's website says).

Now, I'm planning to get some work done around the house by a builder. Do I need to be taking out insurance in case they injure themselves whilst on my property? I currently have legal liability insurance, but not "domestic workers compensation" insurance.

I had always assumed that anyone in business would insure themselves (rather than their customers needing to do so) but seeing this on the policy is making me question exactly what the situation is.

Builders should be covered by their own policy, but it would do no harm to ask them and check (I'm not sure where to check). If you have domestic help, a cleaner for instance, it might be worth taking that option. I am sure it is only a few dollars. Cleaners sourced through agencies may already be covered, but those who self advertise are likely not. It is better for peace of mind and you never know who you might need to engage to do some tasks around the house during the year. Just set and forget.
 

Julia

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Smurf, I never assume anyone doing anything on my property is insured. I always check.

In addition to the cover provided under the household policy I also have a policy with WorkCover Qld for "Household Workers". I can't just now remember the amount of cover it provides but it's several $Million.

The premium is a mere $35 p.a. so well worth it for peace of mind imo.
 
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In addition to the cover provided under the household policy I also have a policy with WorkCover Qld for "Household Workers". I can't just now remember the amount of cover it provides but it's several $Million.
Thanks. That might explain why my normal insurer only offers this type of cover in some states, Qld not being one of them (I'm assuming that WorkCover Qld is a Qld government scheme?).

Looks like I might have to give the insurance company a call on monday and sort this one out...
 
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I wonder if anybody would please share their increases in house and contents premium
increases for the last three years?
I live in Nth.Qld. cannot be flooded and the increase in premium is as follows:
2009 - 2010....27%.
2010 - 2011...55%
2011 - 2012.. 102%
The above figures show the increase is approx. doubled each year.
I will adjust my policy for this year.
However there could be an "house and contents maven" on this forum to make some suggestions. ("maven" is an expert who will pass on his knowledge.)
Because tables are not available to the public, one has to have his premium costs compiled by the "back room accountant" far, far away.
Any thoughts?
joea
 

Julia

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Joe, I can only find last year's and this year's premium records. Shows an increase of 30% for this year over last. Absolutely no floods in this area at all and I'm on higher than average ground as well.
Have you had some quotes from other insurers?
 

hja

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I'm not sure what state you're in but if this is for NSW, NSW Workcover offers protection for jobs done for under $7,500 per year.

So apart from the issue of whether or not your worker has his own insurance, you would need to take out a policy if the works exceed $7,500 for the year. (IMO DYOR as they say)

http://www.workcover.nsw.gov.au/insurancepremiums/Policies/Takingoutapolicy/Pages/default.aspx

"If your business employs or hires workers on a regular, casual or contract basis, you are considered to be an employer and must have a workers compensation insurance policy. This applies even if you are a small company, partnership or sole trader with only one or more workers or contractors who are deemed to be workers.

Note: This also includes private households employing workers to carry out domestic duties, for example, a gardener or cleaner, unless the wages you expect to pay in respect of all domestic workers is less than $7,500.

From 4pm on 30 June 2008, you must take out a workers compensation insurance policy if:

you engage workers or contractors deemed to be workers and you pay, or expect to pay, more than $7,500 a year in wages, or
you engage apprentices or trainees, or
you are a member of a group for workers compensation purposes.
"
 
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Joe, I can only find last year's and this year's premium records. Shows an increase of 30% for this year over last. Absolutely no floods in this area at all and I'm on higher than average ground as well.
Have you had some quotes from other insurers?

Thanks Julia
No, I have chased no other insurer as yet, as I was wondering what others were.
I am on a pad on the side of a hill with my cyclone rating one level higher than my neighbor's. But I do have other peoples in this area.
Generally people just pay them.
Most of my farmer friends have a bulk deal. Houses, sheds, vehicles and tractors etc.
joea
 

Julia

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hja, what does your post have to do with house and contents insurance?
 

hja

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hja, what does your post have to do with house and contents insurance?

I'm not sure that it does but the thread maker brought up Workers Compensation and insurance. To me, what he's considering is more related to Building or Strata insurance than Home and Contents.

This is something I'm going to look into.
 

hja

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Yep I'm pretty sure the thread starter meant Building insurance, not Home and Contents insurance.
 

hja

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Scratch that; I'm reading that depending on the insurer, these policies can be combined, along with these names.

In any case, if the policy deals with the building which includes the outside, like the garden and around the house, I understand that WorkCover NSW (as I mentioned) would play into this for works under $7500 in a year.
 
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Smurf, I never assume anyone doing anything on my property is insured. I always check.

In addition to the cover provided under the household policy I also have a policy with WorkCover Qld for "Household Workers". I can't just now remember the amount of cover it provides but it's several $Million.

The premium is a mere $35 p.a. so well worth it for peace of mind imo.

You are very thorough Julia. But if you check the insurance details of anyone doing work on your property, why would you bother paying an additional unnecessary donation to a big fat insurance company?

Insurance companies love to have everyone running scared.
 
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I usually check my policies every few years, saved myself $300 the last time I changed.
 

Julia

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You are very thorough Julia. But if you check the insurance details of anyone doing work on your property, why would you bother paying an additional unnecessary donation to a big fat insurance company?

Insurance companies love to have everyone running scared.

Probably because I'm compulsively careful.:)
Such a small premium I never notice it and I'm covered for anyone who might be doing a small favour and who is not big enough to be insured.
OK?
 
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I live in Nth.Qld. cannot be flooded and the increase in premium is as follows:
2009 - 2010....27%.
2010 - 2011...55%
2011 - 2012.. 102%
The above figures show the increase is approx. doubled each year.
Any thoughts?
joea

Well I was attempting to find our if this was the general observation in Nth or all Qld.

One rural insurer is not giving any flood insurance. Also they are avoiding anyone living in the cyclone area. So there is a big shake up.
After all, this is all about the accelerating increases in premium in response to Brisbane flooding and the cyclone.

joea
 
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