BAI – Policy Cover

Important Information About Using Subcontractors

You can use any subcontractor you like, as your policy will cover you for any negligence or vicarious liability arising from a subcontractor, regardless of whether the subcontractor is insured or not, but the policy does not cover the actual subcontractor for their liability. Therefore, it is important that all contractors and subcontractors used by you are appropriately qualified, licensed; and maintain adequate professional indemnity, public & products liability and workers compensation insurances. You should ensure their cover is in force before you authorise any work to commence and annually check that these covers are in place.

Subcontractors that provide work or services for you will NOT be covered under this insurance, unless you have named them on your policy. To cover them under your insurance, for services only provided for and on your behalf, their details must be provided. Cover under the Professional Indemnity policy will only last for as long as they remain named on the policy, once removed, all cover will cease from that point. The subcontractor will not be covered for claims made after that date, even if they were on cover at the time a claim occurred.

All subcontractors should hold their own insurance, if they do, then you do not need to name them on your policy. Subcontractors that are registered with the Tax Practitioners Board must hold their own insurance. We cannot name subcontractors, that are company(s) (Pty Ltd), only individual persons (sole-traders). If you engage overseas contractor(s) that are dedicated to your company only, then the individual person can be named on your policy. To name a subcontractor on your policy, there is an additional (non-refundable) premium charged for each subcontractor. If you wish to add them, please provide their full names below.