Do freelancers need insurance?

We live in uncertain times. But one thing has stayed constant – the rise of the freelance workforce. Freelancers are more prevalent now than they have ever been before, and their rise shows little sign of slowing down.

There are well over 2 million freelancers now plying their trades in the UK and they’re making quite a difference.

Freelancers are a group who fully embrace the challenges that come with autonomy – hard work, networking, the delicate dance that comes with retaining existing clients whilst also attempting to acquire new ones.

But the independence doesn’t come without its downsides. Whether that’s managing multiple accounts, signing contracts, chasing late payments, or simply trying to communicate your ideas to sceptical clients – the logistical and administrative side of freelance life can sometimes be a little overwhelming.

That’s why it’s essential for freelancers to find solutions to issues that might trouble – freelance insurance, for example.

Having the right insurance cover in place offers the peace of mind that comes with being protected.

Finding the right insurance provider to protect yourself against potential risks and safeguard your all-important reputation, as well as understanding what it is that you do, shouldn’t be a hassle.

That’s why Ben, Rob and Ed built Dinghy. Online insurance for freelancers, by freelancers. The goal? To make the lives of freelancers easier within a matter of seconds, allowing them to get on with what they do best.

But when it comes to insurance, what do freelancers actually need?

What insurance do freelancers need?

Whether you’re a developer or a creative, an influencer or an IT consultant there are three key insurance policies that freelancers typically need.

Professional Indemnity

“Anyone who has never made a mistake has never tried anything new”. – Albert Einstein

You’re great at what you do. You know that. We know that. But it doesn’t mean that you won’t make a mistake occasionally. It happens to us all.

Whether it’s a design error like leaving a copyright protected placeholder image in a flyer, to writing code that ultimately doesn’t work the way it’s supposed to, your mistakes can cost your client money if they subsequently have to correct them. Luckily, that’s where Professional Indemnity insurance comes in.

It may well be the case that you’ve done nothing wrong, but even then you’ll still need to defend yourself. The costs associated with doing so, including finding the time to find the right lawyers, can spell disaster for a freelancer – especially if your client is significantly bigger than you and is willing to look for compensation using their own lawyers.

Dinghy’s Professional Indemnity insurance will come to your defence with expert lawyers ready to fight your corner and clear your name. And if you ultimately lose out? Even then, the costs are still covered as part of your claim.

Think you might need this? Learn more about what it covers here.

Public Liability

Most freelancers are, at some point, likely to meet with clients, work in a shared workspace, or interact with others while working. For those reasons alone, Public Liability insurance is important.

To put it simply: it covers you if you do something that accidentally harms them or damages their equipment.

For instance, if you’re sat in a café and you plug your laptop in, and someone trips over your cable and gets hurt, Public Liability insurance is there to help them (quite literally) get back on their feet.

Think you might need this? Learn more about what it covers here.

Business Equipment Insurance

For most freelancers, contractors and self-employed professionals, your laptop is your Swiss Army Knife. It does everything you need. Without it, it’s difficult to carry on with work.

With your phone, your camera, your tablet and any other gadget you choose to carry, you are essentially a walking, talking office.

But what would happen if it all got stolen? And what would happen if you were working overseas at the time?

Having Business Equipment Insurance in place will ensure you are back up and running as soon as possible – whether that’s by sending you a physical replacement or via an instant cash transfer.

At Dinghy, our Business Equipment insurance claims handlers are available 24 hours a day, 7 days a week and will aim to deliver you your replacement equipment within 24 hours of your claim being accepted.

If that’s not possible, then they will offer an instant cash transfer. Not bad, right?

Think you might need this? Learn more about what it covers here.

And a little something extra if you’re a Dinghy customer…

When you buy cover with Dinghy – whether it’s Professional Indemnity, Public Liability or Business Equipment Insurance (or all of them together) – we’ll give you our exclusive Freelancer Assist cover for free.

Freelancer Assist will chase your unpaid invoices, support you with tax investigations (including IR35), provide legal and tax advice, offer a free counselling service and more – with cover up to £100,000.

You can find out more right here.

What should you look out for when it comes to choosing an insurance provider?

Some providers, like Dinghy, don’t charge admin fees on their policies. Whether you want to change your address, or change your policy, you won’t pay anything more in admin.

Dinghy is the only insurance provider to offer on-demand policies to freelancers so that you can maintain your full insurance protection when you’re working and save money when you’re not (without cancelling your insurance and losing all the insurance you’ve just paid for.)

You also don’t have to spend hours on the phone listening to jargon and sales spiel, or just sitting on hold. With an online self-service area, you can change your insurance policy whenever you like.

With Dinghy, insurance, for the first time, is geared toward freelancers with flexible hours operating from changing work environments. Freelancing is the future of work, and Dinghy is the future of insurance. We make a good team.

Dinghy is a great option for all of your freelancer insurance needs. If you’re doing your research or thinking about getting a better deal, you don’t need to look any further than getdinghy.com.