Hiring a flooring installer without checking their insurance is a risk many NZ homeowners overlook — until something goes wrong. Fortunately, verifying a tradesperson's public liability insurance is straightforward once you know what to ask and what to look for. This guide walks you through the process so you can hire with confidence.
Why Public Liability Insurance Matters
Public liability insurance protects you — the homeowner — if the tradesperson accidentally damages your property or injures someone during the job. For example, if an installer drops a heavy roll of vinyl onto your staircase and cracks the balustrade, or a subfloor repair causes a water leak that damages your ceiling below, their public liability policy should cover the repair costs.
Without it, you could be left chasing the tradesperson personally for compensation, which is costly and stressful. It also protects the installer themselves, which means a reputable professional will carry it as a matter of course.
What Level of Cover Is Adequate?
There is no single legally mandated minimum for flooring installers in NZ, but industry practice generally considers $1 million to $2 million of public liability cover to be a reasonable baseline for residential work. Larger or more complex jobs — such as commercial flooring or whole-house installations — may warrant $5 million or more.
Always ask the installer directly what their policy limit is and whether it covers the full scope of your project. If in doubt, check with your own home insurer about what they'd expect.
How to Verify Insurance: Step by Step
1. Ask for a Certificate of Currency
The simplest way to confirm insurance is to request a Certificate of Currency (sometimes called a Certificate of Insurance). This is a one-page document issued by the insurer that shows:
- The policyholder's name and business name
- The type of cover (public liability)
- The policy limit (e.g. $2,000,000)
- The policy expiry date
A legitimate tradesperson should be able to provide this quickly — it's a routine request.
2. Check the Expiry Date
Make sure the policy is current and will remain valid for the duration of your project. Policies renew annually, so a certificate from eight months ago may have lapsed.
3. Confirm the Business Name Matches
Check that the name on the certificate matches the business or individual you're hiring. If the installer trades under a company name, the certificate should reflect that entity.
4. Contact the Insurer Directly if Needed
If you have any doubts about the authenticity of the certificate, you can contact the insurer listed on the document to confirm the policy is active. Reputable NZ insurers such as IAG, Vero, NZI, and Crombie Lockwood are commonly used by tradespeople.
5. Check for Trade Association Membership
Some flooring installers belong to industry bodies or associations that require members to hold insurance as a condition of membership. Ask whether the installer is a member of any such group and whether membership is current.
Other Insurance to Ask About
Public liability is the most important policy to check, but it's worth asking about:
| Insurance Type | What It Covers |
|---|---|
| Public Liability | Damage to your property or third-party injury |
| Professional Indemnity | Errors in advice or workmanship recommendations |
| Tools & Equipment | Installer's own tools (less relevant to you, but shows professionalism) |
| Employer's Liability / ACC | Covers workers if the installer has employees or subcontractors on site |
Note that in NZ, personal injury to workers is generally covered by ACC rather than a separate employer's liability policy, but it's still worth confirming the installer's ACC levies are up to date if they have staff.
Red Flags to Watch For
- Reluctance or refusal to provide a Certificate of Currency
- A certificate with an expired date
- A policy limit that seems very low (e.g. under $500,000) for a significant job
- The business name on the certificate doesn't match who you're dealing with
- Pressure to pay cash with no paperwork
What About Licensed Building Practitioners?
Flooring installation is not a restricted building work category under the NZ Building Code, so flooring installers are not required to be Licensed Building Practitioners. However, if your flooring project involves structural subfloor work, waterproofing in wet areas, or connections to plumbing, those elements may require licensed tradespeople. Always check with your local council if you're unsure whether a building consent is needed — some Schedule 1 exemptions apply to straightforward flooring work, but your council is the right authority to confirm this.
For guidance on building work and consents in NZ, MBIE Building Performance is an excellent resource.
When to Call a Professional
If a flooring installer cannot or will not provide proof of current public liability insurance, walk away and find someone who can. A qualified, professional flooring installer will have no hesitation providing their Certificate of Currency — it's a standard part of doing business.
You can find vetted local flooring installers on tradedirectory.co.nz, where you can compare tradespeople and ask about their insurance before committing.
For broader guidance on hiring tradespeople and your rights as a consumer, Consumer NZ has useful information on contracts and dispute resolution.
