Your business faces unique risks—from cyclones and tool theft to licensing and subcontractor liabilities.
🛠️ Broker Insurance Recommendation for Construction Companies – Queensland
As an insurance broker, it is our role to help you identify and manage the specific risks associated with operating a construction business in Queensland. The state presents a unique operating environment, including licensing obligations, subcontractor reliance, regional weather exposures, and employee safety risks.
Based on our experience with clients in the building and construction sector, we recommend the following insurance policies be considered as essential components of your risk management and compliance program.
✅ 1. Contract Works Insurance (Single Project or Annual)
Purpose: Covers accidental physical loss or damage to construction works, materials on site, and temporary structures during the construction period.
What's typically covered:
Fire, storm, theft, vandalism, collapse, accidental damage
Materials stored on-site or in transit
Optional cover for existing structures, removal of debris, and natural catastrophe perils
Why it's critical in QLD: Many areas—especially in North, Central and Coastal QLD—are exposed to cyclone, storm and flood risk. Standard policies often exclude these perils unless specifically endorsed. We work with specialist markets that understand and cater for this exposure.
✅ 2. Public Liability Insurance (Generally $10M or $20M cover)
Purpose: Protects against third-party claims for bodily injury or property damage arising from your construction work.
Required for:
All licensed builders under QBCC
Council permits and commercial contracts
Principal contractor obligations on site
Broker Tip: We ensure cover is extended for subcontractors, labour-hire use, and work at heights or near water.
✅ 3. Workers Compensation Insurance (Statutory Requirement in QLD)
If you employ staff, you must obtain Workers Compensation through WorkCover Queensland. This ensures workers are protected if injured on site or during their duties.
✅ 4. Plant, Machinery & Equipment Insurance
Purpose: Covers owned and hired-in plant and machinery such as excavators, skid steers, trucks, scissor lifts, and trailers.
Recommended: Include theft and accidental damage, including while machinery is in use, on-site, or in storage.
Also consider: Dry hire (equipment only), or wet hire (with operator) extensions depending on your operating model.
✅ 5. Tool Insurance / General Property
Purpose: Covers theft or accidental damage to tools and portable equipment such as drills, saws, batteries, job-specific gear.
This cover is important due to the high tool theft rates on unsecured construction sites and vehicles across QLD.
✅ 6. Professional Indemnity (PI) Insurance
Applies to: Design & Construct contractors, project managers, engineers, certifiers, or any builder giving design advice or specifications.
Purpose: Covers legal defence costs and settlements/awards if a client alleges negligence, design error or failure to deliver according to spec.
✅ 7. Commercial Motor Insurance
Covers work-related vehicles: dual-cab utes, tipper trucks, trailers, and any vehicles used on or off site. Optional benefits include hire vehicle, tools, and signwriting.
✅ 8. Management Liability Insurance
Essential for: Pty Ltd companies employing staff or operating under contracts.
What's covered:
WHS breaches
Fair Work claims (wrongful dismissal, underpayment, workplace harassment)
Statutory fines and regulator investigations
Breach of director duties
Some union-related claims
✅ 9. Cyber Liability Cover
Modern construction companies are increasingly the target of email fraud, malware, and payment redirection scams.
This policy covers:
Cyber extortion (ransomware)
Third-party claims for privacy breaches
Repair and restoration of IT systems and data
Response costs (IT, legal, PR)
🌪️ Queensland-Specific Considerations:
Final Broker Recommendation:
We recommend that all construction clients carry a combination of Contract Works, Public Liability, Workers Compensation, and Plant & Equipment Insurance at a minimum. Additional policies such as Professional Indemnity, Tool Insurance, Commercial Motor, and Management Liability should be considered based on your business structure, services, and risk profile.
We are well connected with specialist underwriters and can help you negotiate tailored terms and competitive premiums across QLD markets.
If you’d like help reviewing your current policies or preparing a market submission, please reach out — we’re here to protect your business and ensure you're always contract and compliance ready.
