Have you got your Brexit Insurance?

 

Many construction sector owners are worried due to concerns raised by Brexit as they're approached by 'Brexit Insurance Consultants'. Do they have reason to be concerned? You could argue they so as Brexit does cause some uncertainty but is forking out for specialist insurance the answer? One thing's for sure is that the construction industry is booming and there certainly isn't a shortage of work, but such insurance companies are set to potentially capitalise off of construction company's worries. Now this covers all trades from Electricians, to Plumbers, to Gas Engineers etc.

Such insurance companies have been popping up simply to ease the minds of construction firms who fear the impact Brexit can have on the sector. The sector currently relies on 120,000 highly skilled EU Migrant workers who clearly contribute alot of work to the industry.

It's estimated that IF EU workers did decide to leave, the UK would be left with a massive task of training those who are eligible in order to complete particular building projects. Now we know there are many construction workers out there so finding the manpower wouldn't be an issue but to then train such staff is an obstacle construction firm owners would need to overcome.

Construction Insure are offering free consultations for anyone interested in Brexit Insurance.

Here's what Mark Herbert of Construction Insure had to say on the matter:

 

“Depending on the outcome Brexit could have a huge impact on foreign workers working for UK based construction firms.

“The main worry for UK construction firms is that instead of using foreign workers they will start having to increase their costs by training up UK workers. They are also likely to have an increased wage burden as they are forced to use higher skilled UK contractors to plug the gap.

“We understand this is a major worry for thousands of UK construction firms and as the Brexit negotiations have dragged on without much apparent progress we have witnessed a steady increase in enquiries from builders and contractors eager to ensure they are adequately insured for any downturn in their business once Britain leaves the European Union.

“For many this is the most pressing concern their business is currently facing and sadly it is totally out of their control. Many firms in the sector, particularly in London and the south east, but also in cities across the UK, rely heavily on EU migrants and there is a real worry about what might happen, particularly if we exit the EU without a strong trade deal.

“Luckily there are steps companies can take to minimise any such impact if it were to happen. Construction Insure can look at their wages and turnover and let them know if they are insured correctly in the first place and we can also look to forecast what possible change these impacts form Brexit might have on their insurance premiums.

“Many contractors do not understand the different type of labourers they use when trying to identify who relates to what on payroll breakdown for insurance purposes. This is crucial information which dictates premium and if gotten wrong can void policies or create huge additional premiums.

“It’s an even bigger risk when trying to purchase a policy online where the client may be tempted to bypass certain questions just to get a cheaper premium. This is an easy trap to fall into but can have dire consequences.

“Construction insure speaks to each client and defines to them what is a manual, labour only and a sub-contractor wage roll and ensures the clients policy has been rated correctly.”

Research held at Warwick University states that one third of construction companies employ foreign workers and again raises potential causes for concern for company owners within the industry.

We know there's a lot of students at Able Skills undergoing their Electrician Courses, Plumbing Courses, Gas Training Courses and many more so we thought we'd let you guys know about such news? Let us know what you think in the comments!