Public liability insurance is the foundation of tradie insurance in New Zealand. It's practically mandatory—most councils require it before issuing building consents, and most building contracts require proof of valid cover.
What Public Liability Covers
Public liability protects you against claims from third parties (clients, property owners, members of public) for:
- ✓Accidental bodily injury caused by your work
- ✓Accidental property damage caused by your work
- ✓Legal defence costs if sued
- ✓Settlements and court awards up to your coverage limit
Coverage Limits Explained
- ✓NZ$1 million: Basic cover for small residential work
- ✓NZ$2 million: Standard for most residential tradies
- ✓NZ$5 million: Recommended for commercial work and larger projects
Most councils require minimum NZ$1 million; commercial clients often require NZ$5 million or higher.
Typical Costs
- ✓Sole trader: NZ$30–60/month
- ✓Small business: NZ$60–120/month
- ✓Growing business: NZ$120–300+/month
Costs depend on trade (high-risk trades pay more), business size, and coverage limit chosen.
Getting a Quote
Most providers offer instant online quotes. You'll need: - Your trade - Number of employees - Annual turnover - Coverage limit needed (typically NZ$2m)
Get quotes from at least 3 providers to compare costs.
Conclusion
Public liability insurance is mandatory for professional tradies in New Zealand. Get appropriate coverage for your specific risks. Review annually as your business grows.