Why 57% of energy sector contractors choose Personal Accident insurance

57% of the 1,400 self-employed workers insuring themselves with a Qdos Personal Accident insurance policy are energy sector contractors. We explore why.
30th October 2023
Written by Elliot Fox

Personal Accident cover offers up to £50,000 in the event of injury or accident. Why is this cover so popular with energy sector contractors?


Since Qdos launched Personal Accident Insurance in 2022, over 1,400 contractors and sole traders have made sure they can carry on paying their bills even if they’re unable to work due to an accident.

What’s more, 57% of these savvy self-employed individuals are in the energy sector. So why are energy sector contractors taking these precautions?



Manual work

Whether your background is in hydrocarbons or you’re part of the wave of renewable projects under development in the North Sea (and beyond) – you’ll know the job carries risks.


Many energy sector contractors such as roustabouts and rope access technicians provide manual services and work in dangerous environments. It’s physically demanding work, with long hours spent around heavy equipment, and you’ll often find yourself working in challenging weather conditions. In these circumstances, accidents happen. When they do, personal accident insurance is there to protect you.


Personal Accident Insurance offers a vital safety net for contractors working in high-risk environments. As such, it’s reassuring that so many are protecting themselves from the dangers that are part and parcel of the job.



Prioritised health and safety precautions

Inherent to an industry with unique and diverse risks such as oil spills, gas leaks, and turbine fires, are prioritised health and safety practices.


From mandatory training to rigorous risk assessments, a regulatory framework that prioritises onsite health and safety means that taking out the right insurance is front of mind for many energy sector contractors.




Energy sector work, particularly offshore, presents a very different working day to your average 9-5.


Long shifts for extended periods far away from home (and often land) in high-risk environments calls for an adventurous person.


Hobbies therefore tend to follow suit. Although not applicable to everyone, many energy sector contractors may have hobbies such as mountain biking and rock climbing where they continue to be at accident risk when off duty.

If you’re unfortunate enough to hurt yourself in these situations, accident insurance can provide a financial lifeline.



What is Personal Accident Insurance?

Personal Accident Insurance provides you with some financial security in the event you suffer an injury, up to £50,000.


It can pay out a lump sum based on the severity of your injury and a daily £50 top-up for the first 60 days if you’re stuck in hospital. This means you’ll still have some income in the event that you’re unable to work.


In a worst-case scenario, the policy can pay out to a nominated beneficiary in the event of your death. While serious injuries and deaths are rare, they do happen. Personal Accident cover offers you peace of mind that, if the worst happens, you’re covered financially.


Learn more about Personal Accident Insurance



What other insurance do energy contractors need?

Professional Indemnity

Professional Indemnity Insurance will cover you against negligence claims brought against you, where – for example – you’ve issued incorrect advice that led to a financial loss.


This tends to be a contractual requirement. So while the extent of risk will vary between professionals based on the amount and nature of advice, design, or consultancy given, it’s essential cover to have in place.



Public Liability Insurance

Public Liability Insurance covers disputes relating to third-party property damage or injury.


If, say, you damage a piece of machinery on a rig or platform – or your actions lead to an injury to another worker on site whilst providing your services – the cover would kick in. As with Professional Indemnity, this is likely to be a contractual requirement.



Tax Enquiry Insurance

Tax Enquiry Insurance protects you from a tax investigation, covering income tax, IR35 and more.


Off-payroll engagements are common in the energy industry, and HMRC can investigate historic engagements that took place long before the rollout of IR35 reform.




Earlier in the year, the government confirmed it would grant new oil and gas licences in the North Sea, boosting activity across the industry.


Renewable energy projects are also under construction, with the North Sea a popular choice for developers – including those behind the world’s largest offshore wind farm.


Naturally, this means energy contractors are in high demand. Whether on an oil rig or involved in the construction and maintenance of wind turbines, offshore work requires specialist skills, so taking out the right insurance is essential.


Explore offshore contractor insurance


Elliot Fox
Written by
Elliot Fox
Elliot Fox is Qdos’ Head of Insurance and has been a part of the furniture for over a decade. Elliot is chartered by the Chartered Insurance Institute and enjoys sharing his knowledge of insurance, ensuring quality products for our customers, and taking the mickey out of his colleagues.

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