Side Hustles – what are the insurance requirements?

With side hustles becoming more common – according to Robert Walters, nearly 20% of people already have a second job and nearly a third are considering one – it may not be front of mind to make sure you’ve got insurance in place to adequately safeguard your additional income stream.

Mann Broadbent has over 60 years of experience in sport, dance and leisure insurance, and is well placed to advise you what type of protection you might need with your extra job. Whatever the scale, you are vulnerable if a customer makes a complaint, or someone falls over some equipment and has an accident. Read on to understand the main types of insurance you need to consider for various types of sport, dance and leisure activities.

Public liability insurance

If your passion is coaching and you take on the role of training a local team for some extra money in your back pocket, you’ll need to get public liability insurance since this activity involves direct interaction with clients, customers, or the public, and this carries the risk of accidental injury or property damage to them.

You may love sport so much that you obtain your personal training certificate and take on clients outside of your day job’s working hours. Or you may organise a sporting event that is public-facing and again there is always the potential for someone to trip or hurt themselves in some way.

Public Liability Insurance covers your legal costs and compensation if someone is injured or their property is damaged during your side hustle activities.

Professional Indemnity Insurance

Should your side gig focus on providing professional advice, which happens regularly if you’re a sports coach or personal trainer, you will need professional indemnity insurance. This is a must, in case any of your clients make a claim of negligence against you, relating to the services and advice you provide, that leads to financial losses for the client. A professional indemnity policy will help you cover any legal costs associated with your defence if you are found liable for professional negligence.

Business Equipment Insurance

Business equipment insurance offers protection against the loss or damage of equipment and property used in the course of your operations. If your business relies on high-value equipment to function effectively, ensuring you have adequate coverage in place is essential so that you can swiftly replace items when necessary.

This would apply if you have a laptop, specialist camera or sports equipment.

Other types of insurance include options such as business interruption, buildings and  personal guarantee insurance.

If your side hustle earns you less than £1,000 a year, then you won’t owe any tax to HMRC, but if you’re opening yourself up to risk then you should ensure you are covered and create peace of mind.

No matter what your side hustle involves, it’s important to be upfront with your insurer so they can tailor a policy that fits your specific needs. As your venture evolves, make the most of regular policy reviews to ensure your cover keeps pace with any new risks.

Starting a home-based business or side project can be deeply rewarding, offering flexibility and the chance to pursue something you’re passionate about. The right insurance not only protects you from unexpected setbacks but also lays the groundwork for future growth. Who knows — your side gig could one day become your full-time career.

If you’d like to explore what cover you will need for your side hustle, Mann Broadbent can advise as to what policies will best protect you. Call 01905 612336 and tell us about your venture’s requirements or alternatively email enquiry@mannbroadbent.co.uk