Public Liability Insurance for UK Freelancers: Who Needs It and Who Doesn’t?
As a freelancer, navigating insurance options can be tricky. One question that comes up often: Do I need Public Liability Insurance (PLI)? In the UK, it’s not legally required, but for many freelancers, it’s essential protection. Let’s explore who truly needs it in 2025 and who might be able to work without.
What Is Public Liability Insurance?
Public Liability Insurance (PLI) protects you against legal and compensation costs if a third party is injured or their property is damaged because of your business activities. This includes legal fees plus any award you may have to pay, as explained by Kingsbridge and Compare the Market.
Many businesses now require freelancers to carry at least £5 million of PLI cover before they can be hired, especially for public contracts, according to MoneySuperMarket and Crunch.
Who Should Seriously Consider PLI
1. Freelancers Working On-Site or Face-to-Face
If you deliver services in client homes, offices, or public venues such as photographers, personal trainers, tutors, or event staff; PLI is essential. Accidents (like a guest tripping over gear) can lead to costly claims, as Hiscox notes.
2. Tradespeople and Field-Service Providers
Carpenters, electricians, handymen, coaches, and beauty therapists visiting clients fall into higher-risk categories. Mistakes or accidents during work could lead to injury or property damage and subsequent legal claims, according to Crunch and Howden Insurance.
3. Freelancers with Client Visits to Your Workspace
Even if you operate from home, clients visiting for meetings or services can expose you to liability risks. Regular home insurance rarely covers business-related incidents, making PLI necessary, explains Compare the Market.
4. Freelancers Serving Clients Who Require It
Some clients such as agencies, councils, and public-sector bodies, must see proof of insurance before signing contracts. Without PLI, you might miss out on high-quality work or formally structured briefs, notes MoneySuperMarket.
Who Might Not Need Public Liability Insurance
1. Purely Digital Freelancers Who Never Meet Clients
If all your work happens online, such as writing, coding, or digital marketing, and you never meet people in person or handle their property, the risk of injury or damage is minimal. In such cases, PLI may not be necessary, according to GoQdos.
2. Those on Extremely Tight Budgets with No Physical Interaction
Freelancers just starting out may choose to defer insurance until revenue grows. However, it’s important to revisit this as soon as their business involves in-person work or scales up, notes Compare the Market.
What’s the Cost and How Much Cover Do You Need?
PLI isn’t legally required but is widely recommended if your work involves public interaction or site visits. Premiums are often surprisingly affordable starting from around £4.95 per month or between £60–£90 per year, depending on your occupation and level of risk, according to Simply Business.
Cover limits typically range from £1 million to £10 million, with higher limits often required for public-sector or major clients, notes Crunch.
Quick Comparison
| Freelancer Situation | Need PLI? | Reason |
|---|---|---|
| Meets clients face-to-face or visits site | Yes | Protects against physical injury/property damage claims |
| Works exclusively online | No (initially) | Risk of third-party claims is very low |
| Just starting out without in-person work | Maybe later | Can delay until scale or scope increases |
What you should do now
While Public Liability Insurance isn’t mandatory in the UK, it’s often a smart investment for freelancers offering in-person services or meeting clients. It protects your income, reputation, and peace of mind. Even if you operate entirely online now, revisit this as your freelance career grows.
