Property Damage: Who’s Responsible?

 …Who’s responsible?

It’s Tradies like you who save normal human folk from day-to-day disasters.  When something goes wrong, you’re there to repair, replace and install. But what happens when the shoe is on the other foot and you’re the cause of the disaster?

There are many things that can go wrong on the job, like putting your foot through a ceiling or spilling paint over new decking. Accidents like these are common and there may be times when you’ll be the one needing a bit of expert help.

Are you liable?

Under Australian Consumer Law, services must be carried out using an acceptable level of care and skill. If a customer suffers loss or damage to their property due to your business activities, they can make a claim to recover the cost of damages or compensation.

This means you have to pay and to top it off, if you’re a sole trader you have unlimited personal liability, meaning your personal assets are at risk of being seized if things go wrong. This is where property damage cover comes into play.

What is property damage cover?

Property damage cover is a sub-set of Public Liability insurance. It is specifically designed to protect your business against claims of third party property damage, which you are legally liable for.  Like the electrician who cut into a pipe causing flooding throughout an entire house, he was responsible for replacing all parts of the kitchen that were damaged, as well as emergency plumbing costs and temporary accommodation for the owners of the premises. Fortunately, this Tradie had a Public Liability policy which paid out over $16,000 to cover the cost of the damage.

It’s important to note that property damage cover doesn’t cover the cost of rectifying dodgy workmanship, but it will cover the consequential damage that’s done as a result of faulty work.

At the end of the day, you’re bound to cause some form of accidental property damage over the course of your tradie career. The cost of paying for it to be fixed and the damage to your reputation probably far outweigh the cost of getting yourself the right cover.


To compare quotes, visit

BizCover™ Pty Ltd (ABN 68 127 707 975; AR 338440) is a corporate authorised representative of Mega Capital Pty Ltd (ABN 37 098 080 418; AFSL 238549).  This is general advice only and does not take into consideration your personal circumstances.


Leave a Reply

Your email address will not be published. Required fields are marked *