Liability Insurance For Employers
Most employers are required by the law to insure against liability for injury or disease to their employees arising out of their employment.
You need employers liability insurance if:
You have visitors coming into your workplace – whether it’s your home, your office or a site where you are working.
Your business takes you to other people’s property – a public liability claim could be made against any member of your business if they accidentally cause damage to anything which doesn’t belong to your business.
A client insists your business has this insurance before they offer you any work.
Anybody working for your business or the work your business carries out puts any other person at risk of injury.
Why Have Employers’ Liability Insurance?
In most cases if you have employees, employers’ liability insurance with cover of at least £5 million, is a legal requirement and you could be fined if you’re not covered
Easy access to ‘no win no fee’ legal services which help employees claim compensation may increase the likelihood of a business experiencing an employers’ liability claim if they suffer an accident or illness which they think has been caused as a direct result of their work
Your employers’ liability could be triggered even if the employee is a voluntary helper or is self employed but working under your supervision
The legal and compensation costs of defending your business against an employers’ liability claim could significantly damage your business.
Employers’ Liability Insurance If Your Employees Work Abroad
If any of your employees are normally based in England, Scotland or Wales (including offshore installations or associated structures) you must have employers’ liability insurance.
Under the law in Great Britain you do not need employers’ liability insurance to cover any of your employees who are based abroad (eg if they are on secondment).
However, you should check whether the law in the country where they are based requires you to take out insurance or take any other measures to protect your employees.
If any of your employees are normally based abroad but spend more than 14 days continuously in Great Britain, or more than seven days on an offshore installation, under the law in Great Britain you will need employers’ liability insurance for them.