Confined Space & Rescue Contractors Insurance
Confined space and rescue contractors work where other people's emergency arrangements fail. Under the Confined Spaces Regulations 1997, entry should be avoided where reasonably practicable, and where it cannot be, there must be a safe system of work and suitable emergency arrangements in place before anyone goes in. Contractors provide both: trained entry teams, and standby rescue teams who wait at the entry point for something to go wrong.
A confined space incident is frequently a fatality. Oxygen depletion, toxic gas such as hydrogen sulphide, engulfment and fire can overcome a worker in moments, and history shows would be rescuers are often among the casualties. A death on a client's site can lead to an HSE investigation, possible prosecution, an inquest and a civil claim in which the contractor's role will be examined closely.
Contracts with major principals add to the exposure. Water utilities, petrochemical operators, tunnelling contractors and facilities management firms typically require high liability limits, contractual indemnities, waivers of subrogation and principal's indemnity clauses before a team goes on site. The insurance needs to respond to those terms, not only to the contractor's own negligence.
This page sits on the Professionals hub, but the risk is hands on contracting. We can advise confined space and rescue contractors on public and employers' liability as the core of the programme, with professional indemnity for the rescue planning and risk assessment work that sits alongside it.
Common claims and risk exposures
The exposures that produce claims in this trade, rather than a generic list.
Death or serious injury of your own team
Entrants and rescuers working in sewers, tanks, vessels, silos and wet wells face the hazards they are there to manage. A failure in gas monitoring, breathing apparatus or communications can be fatal, and the employer's liability claim and investigation follow.
A failed rescue of the client's worker
Where the contractor is standby rescue for the client's own workforce or another contractor, a rescue that is slow, fails or injures the casualty further leads to claims that the rescue arrangements were inadequate.
Gas monitoring and atmosphere testing
Detectors that were not calibrated or bump tested, readings misinterpreted, or monitoring stopped too early. Atmospheres can change during work, and a missed reading can cause a death or an explosion with wider damage.
Contractual indemnities to principals
Contracts often require the contractor to indemnify the principal for injury and damage connected with the work, sometimes regardless of fault. Liability accepted by contract can go beyond what the law would impose, and may not be covered unless the policy contemplates it.
Rescue plans and method statements
Many contractors write the rescue plan, risk assessment and method statement for the entry. If the plan is inadequate and an incident follows, the claim is about professional advice as well as the physical work.
The cover we arrange
We arrange professional indemnity and related insurance around the services you provide, the clients you work with and the contractual requirements you face. The appropriate cover and limits will depend on your individual activities and the terms available from insurers.
Employers' liability
Injury and death of your own entry and rescue teams. Employers' liability is legally required once you employ people, with a minimum limit of five million pounds, and can be arranged where required, subject to the policy terms. Insurers will look closely at training, equipment and supervision.
- Entry and standby rescue teams
- Labour only subcontractors
- Limit to meet contract requirements
- Subject to the policy terms
Public liability
Injury to the client's workers and others, and damage to client plant and property arising from your work. Principals commonly require high limits, so the limit should be set against your contracts.
- Injury to client and third party workers
- Damage to client plant and assets
- Contractual liability and indemnities
- Principal's indemnity where required
Professional indemnity
Claims arising from rescue plans, confined space risk assessments, method statements and advice to clients on entry and emergency arrangements, where those are provided as a service.
- Rescue planning
- Risk assessments and method statements
- Advice on emergency arrangements
- Bodily injury arising from advice checked
Equipment cover
Breathing apparatus, gas detectors, tripods, winches, retrieval systems and rescue vehicles are expensive and go wherever the team goes. Cover for loss, theft and damage on site and in transit protects the ability to keep working.
- BA sets and gas detection
- Tripods, winches and harnesses
- Rescue and support vehicles
- Hired in and hired out equipment
Legal defence costs
Some liability policies can include defence costs for health and safety prosecutions or corporate manslaughter investigations following an incident. In this work that extension, and its limit, deserves attention.
- HSE investigation and prosecution
- Inquest representation
- Corporate manslaughter defence
- Fines themselves not insured
What an underwriter will ask
Having these to hand shortens the process considerably, and usually improves the terms.
- Split of work between confined space entry, standby rescue, rescue planning, training and equipment hire
- Sectors served, such as water and sewerage, petrochemical, tunnelling, food and drink, utilities and facilities management
- Typical spaces entered: sewers, tanks, vessels, silos, shafts, voids and wet wells
- Team size, qualifications, medical fitness checks and refresher training
- Gas monitoring equipment, calibration and bump testing regime, and breathing apparatus maintenance
- Contract terms with principals, including indemnities, waivers of subrogation and required limits
- Use of labour only or subcontracted teams, and whether they hold their own cover
- Accidents, near misses, claims and HSE involvement over the last five years
What affects the cost of your insurance?
The main factors insurers consider when assessing the premium.
Type of space and sector
Sewer, petrochemical and toxic atmosphere work is rated above entry into dry, well ventilated spaces, because the potential for multiple fatalities is higher.
Wage roll and headcount
Employers' liability is rated largely on wages and the nature of the work, so the number of people entering spaces and how often they do it matters directly.
Contract terms and limits
High limits and broad indemnities required by principals increase the premium, and terms that transfer the principal's own liability can make cover harder to place.
Safety systems and record
Training, medical checks, calibration records, rescue drills and incident history are reviewed in detail, and a strong record helps terms considerably.
Conditions and exclusions to consider
Terms vary between insurers, so treat these as the questions to ask rather than a description of any one policy.
Unusual contractual liabilities
Indemnities that make you responsible for the principal's own negligence, or for losses regardless of fault, may go beyond what the policy covers. Send contracts for review before signing rather than after an incident.
Hazardous locations not declared
Offshore work, nuclear sites, airside areas and work abroad are commonly excluded or need specific agreement. Declare where the teams actually go.
Gradual pollution
Liability policies commonly cover sudden and accidental pollution only. Work in sewers, tanks and process plant can cause a release, so the pollution wording needs checking.
Fines and penalties
Fines following a health and safety or corporate manslaughter prosecution are generally uninsurable. Defence costs are a separate question and depend on the policy.
Common questions
What limits do principals usually require?
It varies by principal and contract, but water utilities and petrochemical operators commonly ask for public liability limits well above the levels small contractors start with. Check the contract before tendering, because the limit and the indemnity wording both affect the price and whether cover can be placed.
Why does a contractor need professional indemnity?
If you write rescue plans, confined space risk assessments or method statements for clients, a claim can arise from that advice as well as from the physical work. A liability policy may not respond to a claim that your plan was inadequate, so professional indemnity covers that gap.
We signed a contract with an indemnity clause. Are we covered?
Possibly, depending on the wording. Liability policies usually cover contractual liability to an extent, but indemnities that go beyond your own negligence may not be covered. Send the clause for review, ideally before signing.
Is first aid given to a casualty during a rescue covered?
Many liability policies cover first aid given by employees, but the extent varies and advanced treatment may be treated differently. Tell us what medical care your teams are trained and expected to give.
What happens after a fatality on a job?
Notify your insurer immediately and before responding to the investigation in detail. Preserve gas logs, permits, equipment records and training records. The HSE investigation, any inquest and a civil claim can run in parallel, and early legal support makes a real difference.
How do I get a quote from True Risk Solutions?
Call 01304 262880 and speak to a broker, or email info@truerisksolutions.co.uk with what you do, what you need cover for and a phone number with the best time to call, and a broker will call you back. We need a phone number to quote, because the cover and the price depend on questions that are quicker to answer on a call than by email.
Speak to a specialist who understands your industry
Tell us about your business and the work you undertake, and we will come back to you with cover options built around it. Call 01304 262880, or email us with a phone number and the best time to call and a broker will ring you back.