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Security and cleaning contractors
A UK security company usually needs public liability, employers’ liability and often professional indemnity, with extensions for wrongful arrest and keyholding. Clients, venues and the SIA’s Approved Contractor Scheme look for evidence of this cover before work is awarded.
Part of: Public liability insurance
In short
Security firms face claims from injured members of the public, damaged client property, staff hurt on duty, people who say they were wrongly detained, and clients who say a patrol or alarm response failed. Employers’ liability is compulsory for most employers, with a legal minimum of £5 million. Public liability is not compulsory but is expected in almost every contract, and the SIA’s Approved Contractor Scheme guidance says the SIA will consider whether a business holds public and employers’ liability of at least £5 million. Wrongful arrest, lost keys and security advice are commonly handled by extensions or a separate professional indemnity policy, depending on the wording.
Most security businesses buy a combined liability policy built around employers’ liability, public liability and professional indemnity, then add extensions for the way they actually work. All cover is subject to the insurer’s acceptance and the policy terms.
| Cover | What it is for | Points to check |
|---|---|---|
| Employers’ liability | Injury or illness suffered by your own staff at work | Compulsory for most employers; minimum £5 million. Check how self-employed and subcontracted officers are treated. |
| Public liability | Injury to third parties and damage to their property | Limit required by your contracts; whether assault and use of force are covered or excluded. |
| Wrongful arrest and detention | Claims for false imprisonment, malicious prosecution or defamation after a detention | Often an extension with its own sub-limit rather than part of standard public liability. |
| Professional indemnity | Financial loss caused by negligent advice, surveys or system specifications | Needed if you consult, design CCTV or access control systems, or write security plans. |
| Loss of keys | Cost of replacing locks when client keys or codes are lost or stolen | Sub-limits per key and per period; conditions on how keys are stored and tagged. |
| Employee dishonesty | Theft by your staff from clients while on site | Usually a crime or fidelity policy, not public liability. |
Patrol vehicles need their own motor cover, and kit such as radios and body-worn cameras is usually insured separately as equipment.
Guards and store detectives in England and Wales rely on the same arrest power as any member of the public. Section 24A of the Police and Criminal Evidence Act 1984 lets a person other than a constable arrest someone for an indictable offence where they have reasonable grounds to believe it is necessary, for example to prevent injury, loss of property or the person making off, and it is not reasonably practicable for a constable to make the arrest instead. Scotland and Northern Ireland have their own rules.
When a detention goes wrong, the claim usually alleges false imprisonment, assault, or defamation if the person was accused in front of others. Many public liability wordings exclude deliberate acts or restrict assault claims, so check that the policy says, in terms, that wrongful arrest and the use of reasonable force by your staff are covered.
Illustrative: a retail guard stops a shopper who has set off a tag alarm and holds them in a back office for 40 minutes until police arrive. The tag had not been removed at the till. The shopper claims for false imprisonment and distress. A wrongful arrest extension would usually be the section that responds, subject to its sub-limit.
Contract key holding is a licensable activity in its own right. The SIA describes it as keeping, or controlling access to, any key or device for operating a lock, and staff doing it under a contract for services need a licence.
Key holding creates three kinds of exposure:
Insurers ask how keys are coded, stored and logged, and what your response times are in each contract. Lone working by response officers is also an employers’ liability question.
Public liability covers injury and property damage. It does not cover a client’s pure financial loss when your risk assessment, site survey or system specification turns out to be wrong. That is the job of professional indemnity insurance.
Demand for advice is growing because of the Terrorism (Protection of Premises) Act 2025, known as Martyn’s Law. The Home Office factsheet confirms Royal Assent on 3 April 2025, a standard tier for premises where 200 to 799 people may be present and an enhanced tier for 800 or more, and the SIA as regulator. The duties are not yet in force: the government expects an implementation period of at least 24 months. If you help venues prepare procedures or measures, make sure your PI wording names that work. Our guide to Martyn’s Law for venues covers the client side.
The SIA licenses individuals, not companies, so there is no licence for the business itself. Many firms join the voluntary Approved Contractor Scheme instead. Its Get Approved guidance says the SIA will consider whether a business holds public liability and employers’ liability insurance of at least £5 million, and asks for the certificates. We explain the scheme in more detail in SIA licensing and insurance for security firms.
Client contracts often go further. Common requests are a higher public liability limit, an indemnity for the client’s losses, the client named as an indemnified party, and a waiver of subrogation. Some of these widen your liability beyond what the policy covers, so read our note on hold harmless and indemnity clauses before signing. Venue and event work brings its own conditions, covered in door supervisor and event security insurance.
Employers’ liability is required under the Employers’ Liability (Compulsory Insurance) Act 1969. HSE guidance sets the minimum at £5 million, with fines of up to £2,500 for each day without suitable cover and up to £1,000 for failing to display the certificate or produce it to an inspector.
Security relies heavily on subcontracted and self-employed officers. HSE is clear that tax status does not decide who is an employee; control over the work does. An officer who wears your uniform, follows your assignment instructions and cannot send a substitute may well count as your employee for this purpose. Tell the insurer how many people work for you on each basis.
Staff dishonesty is a separate risk. A commercial crime policy with fidelity cover can respond to theft by your own people, and our guide to employee theft and fraud insurance explains how those claims are proved.
Apex arranges insurance for security contractors, including liability, professional indemnity and crime cover, subject to the insurer’s acceptance and the policy terms. A broker reads each enquiry and comes back with options, and there is no fee for a quote. To quote we need your business activities, turnover, location and claims history, plus the split of guarding, door, CCTV, key holding and consultancy work, headcount by employed and subcontracted staff, ACS status and the limits your contracts require. Firms that also clean or manage sites can see cleaning company insurance and facilities management insurance.
Usually employers’ liability, which is compulsory for most employers, and public liability, which nearly every contract requires. Many firms add wrongful arrest, loss of keys and professional indemnity for advice or system design. Crime cover for staff dishonesty and motor cover for patrol vehicles are bought separately. What you need depends on your services and contracts.
No law makes public liability compulsory for security firms, but clients and venues almost always require it in contracts. The SIA’s Approved Contractor Scheme guidance says it will consider whether a business holds public and employers’ liability of at least £5 million, so ACS applicants should expect to show both certificates.
Not always. Many wordings exclude deliberate acts or limit assault claims, and false imprisonment is often covered by a separate wrongful arrest extension with its own sub-limit. Check that the policy expressly covers wrongful arrest and the reasonable use of force by your staff, and tell the insurer if you supply store detectives.
Usually yes. If a client relies on your risk assessment, survey or system specification and suffers financial loss when it proves wrong, public liability will not normally respond. Professional indemnity covers negligent advice. With Martyn’s Law duties expected to start after an implementation period of at least 24 months, check the wording names any compliance advice you give.
It depends on the facts. HSE says job titles and tax status do not decide employment; control over the work does. Officers who follow your instructions, wear your uniform and cannot send a substitute may count as employees. Declare all subcontracted and self-employed officers so the policy reflects how you actually staff contracts.
Tell us what your business does, your turnover and any claims. A broker reads every enquiry and comes back with options. No fee for a quote. Or call 0117 325 0027.
Start a commercial enquiry Request a callbackApex Insurance Brokers Limited is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales, company number 07014570. This page is general information, not advice on your individual circumstances, and it does not guarantee that cover will be available or on what terms.
