Liability Insurance for a 14 year old

AkiseLawliet

Hi! I'm 14 and work as a sole mobile car cleaner. Ive recently been asked by multiple people if I have liability insurance but its far too expensive as I don't have regular expenditure to be able to pay for the insurance and materials. If I can it means that I get no profit and the whole idea is futile. I can't keep track of my expenditure in full as i have just started and need to evaluate my current financial status so i can see what i have left. Please Help!

jobbingmusician

Ask mum or dad if you can have a look at the household insurance policy - there might be something in there. Otherwise, I can only applaud your initiative and well-written post, and hope that some of the knowledgeable people on here might have something to contribute. Good luck!

sangie595

AkiseLawliet wrote: »

Hi! I'm 14 and work as a sole mobile car cleaner. Ive recently been asked by multiple people if I have liability insurance but its far too expensive as I don't have regular expenditure to be able to pay for the insurance and materials. If I can it means that I get no profit and the whole idea is futile. I can't keep track of my expenditure in full as i have just started and need to evaluate my current financial status so i can see what i have left. Please Help!

Laudable as it may be it is totally illegal to be operating without insurance. As a minor you are also not permitted to enter into contracts - of any sort (with the exception of a contract which is necessary for the protection of life and safety) - and your parents must do this for you. If they don't they could end up in court and it could be disastrously expensive for them.

I'm afraid that the days when kids could do all sorts of odd jobs and earn their own pocket money around the neighbourhood are well and truly over. The law has caught up, and operates on the basis that it doesn't matter whether you are 14 or 40. You (or your parents, on your behalf) are required to comply with the law, and if you are operating a "business" then you need insurance.

campbell19925

https://forums.moneysavingexpert.com/discussion/5865967/liability-insurance-for-14-year-old

Exact same thread here. Why did you think there was a need to create another?

Les79

I have to say, I genuinely feel sorry for the young people at the moment.

When I was 14 (not *that* long ago) this would never have been an issue. Admittedly the car owner usually chose NOT to employ a 14 year old cleaner, but many were happy because it was 1. Cheap, 2. Giving something to the young people and 3. They accepted the potential liability risks and shrugged them off.

You come across as very articulate for a 14 year old, though. Head screwed on and quite a driven individual. In that respect, I would maybe consider looking at alternative ways of making money at your age. ALSO, how are you doing education-wise? You are still within the bracket for statuary education and have a few years to go; can't you instead focus on that and get the best results possible? That will set you up better in the long run than a car cleaning job @ 14. On the absolute off-chance that you are trying to raise money to support a family member etc then you should potentially approach a charity which helps children with their problems.

Dox

sangie595 wrote: »

Laudable as it may be it is totally illegal to be operating without insurance. As a minor you are also not permitted to enter into contracts - of any sort (with the exception of a contract which is necessary for the protection of life and safety)

Unwise, possibly - but it isn't illegal. Insurance is only required if someone is operating in an area where insurance is compulsory - and washing cars doesn't come into that category.

You are also wrong about the sort of contracts minors can enter into. Contracts that are for 'necessaries' are binding on children, as are those for apprenticeships, employment, education and services where they are rightly said to be for the benefit of the child.

Tealblue

sangie595 wrote: »

Laudable as it may be it is totally illegal to be operating without insurance.

You mean as opposed to 'partly illegal' ?!

You're wrong about this business, certainly. OP isn't an employer and doesn't use vehicles (cleaning them isn't the same thing as using them) - see https://www.abi.org.uk/products-and-issues/choosing-the-right-insurance/business-insurance/

Savvy_Sue

Les79 wrote: »

You come across as very articulate for a 14 year old, though. Head screwed on and quite a driven individual.

I thought that when I read his first thread!

Les79 wrote: »

In that respect, I would maybe consider looking at alternative ways of making money at your age. ALSO, how are you doing education-wise? You are still within the bracket for statuary education and have a few years to go; can't you instead focus on that and get the best results possible? That will set you up better in the long run than a car cleaning job @ 14. On the absolute off-chance that you are trying to raise money to support a family member etc then you should potentially approach a charity which helps children with their problems.

Les79 wrote: »

In that respect, I would maybe consider looking at alternative ways of making money at your age. ALSO, how are you doing education-wise? You are still within the bracket for statuary education and have a few years to go; can't you instead focus on that and get the best results possible? That will set you up better in the long run than a car cleaning job @ 14.

I agree with this too, however there are now very very few employment opportunities at this age - paper round is pretty much the only option, although it's possible some catering jobs are also open.

Talking of paper rounds, one of mine did the local (daily) paper after school, and found that giving each customer a Christmas card had a very healthy effect on the tips he was given. And another did the Sunday papers for the local newsagent, which paid better because the Sundays weigh a ton! And he found the same thing.

And there's babysitting.

Apart from that, there's self-employment, where you run into the kind of problems identified here and in the original thread.

Les79 wrote: »

On the absolute off-chance that you are trying to raise money to support a family member etc then you should potentially approach a charity which helps children with their problems.

This too.

sangie595

Dox wrote: »

Unwise, possibly - but it isn't illegal. Insurance is only required if someone is operating in an area where insurance is compulsory - and washing cars doesn't come into that category.

You are also wrong about the sort of contracts minors can enter into. Contracts that are for 'necessaries' are binding on children, as are those for apprenticeships, employment, education and services where they are rightly said to be for the benefit of the child.

Running a business requires public liability insurance, running a business that uses cleaning products requires waste management processes... And there is a list of other things that you must do whilst running a business. Being 14 does not excuse you from doing those things. It doesn't excuse your parents from liability on your behalf as a minor running a business if you do not do those things, your business is running illegally. Full stop. They're is no requirement to be an employer before you become liable to do these things. There are lots of self employed adults who have no employees, and they are also responsible for conducting their businesses within the law.

AstroTurtle

sangie595 wrote: »

Running a business requires public liability insurance, running a business that uses cleaning products requires waste management processes... And there is a list of other things that you must do whilst running a business. Being 14 does not excuse you from doing those things. It doesn't excuse your parents from liability on your behalf as a minor running a business if you do not do those things, your business is running illegally. Full stop. They're is no requirement to be an employer before you become liable to do these things. There are lots of self employed adults who have no employees, and they are also responsible for conducting their businesses within the law.

Wrong again. PL (Public Liability) Insurance is not a compulsory insurance.

Employers Liability Insurance is required by law (under the Compulsory Insurance Act 1969)

All drivers are required by law (under the Road Traffic Act of 1930) to have in force an insurance policy to cover their liability for bodily injury to or damage to third party property which arises from the use of a motor vehicle

Those are the only two "Compulsory" Insurance products under UK Law. Whilst most businesses have PL merged into combined policies and its a sensible policy to have, A Sole trader (Not business) 14 year old car cleaner does not REQUIRE it by law.


As for talks of contracts and binding and parents liability. Lets not overexaggerate this... It's a kid with a bucket and some fancy soap from Halfords going to peoples houses to clean cars. He's not landing contracts to clean Ford Europe and signing dotted lines....

So ultimately to answer the OP's question. You don't REQUIRE Public liability insurance in the first place albeit risks upon you if it hits the fan.

Brynsam

sangie595 wrote: »

Running a business requires public liability insurance, running a business that uses cleaning products requires waste management processes... And there is a list of other things that you must do whilst running a business. Being 14 does not excuse you from doing those things. It doesn't excuse your parents from liability on your behalf as a minor running a business if you do not do those things, your business is running illegally. Full stop. They're is no requirement to be an employer before you become liable to do these things. There are lots of self employed adults who have no employees, and they are also responsible for conducting their businesses within the law.

You're talking nonsense. Read the link in post 7.