Builders could receive discounts of 20% off their liability insurance, under a new government plan.
The scheme is aimed at increasing the popularity of its Quality Mark scheme, which in turn would earn builders discounts.
Builders who join the Quality Mark scheme would get vetted on their health and safety record and the quality of their work.
Peter Dawson, at Quality Assurance National Warranties, which is acting as a broker for the employer liability scheme, was reported as saying that insurers were happy to offer the 20% discount.
The announcement from energy and construction minister, Brian Wilson, is aimed at cracking down on "cowboy" builders.
The construction industry has suffered from rising employer's liability insurance rates. Some builders have seen increases in their insurance of between 15% and 30%.