As a small business you do your best to limit the possibility of injury or illness to your employees resulting from their work, but if they do have an accident or become ill, your business could be sued for compensation under your employers’ liability insurance. As a result, businesses in the UK that employ staff are legally obliged to have employers’ liability insurance to provide cover against a claim from an employee*.
Employers’ liability insurance can be bought with Hiscox Public Liability Insurance.
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.
How Hiscox Employers’ Liability Insurance protects you and your business
- Pays your legal and compensation costs if you are sued by a member of your staff if they believe their work has caused them injury or made them ill
- Covers any person working for you in connection with your business even if they are voluntary help or self employed
- Claims for injuries or illness caused by terrorism are also covered up to a limit of £5 million
- It can be added to your public liability insurance which covers compensation you have to pay a client, contractor or member of the public due to accidental injury or property damage.
Even the most trivial accident such as tripping over a computer cable at work could trigger an employers’ liability claim from an employee. Hiscox Employers’ Liability Insurance can ensure your business meets unforeseen legal and compensation costs. The employers’ liability policy is only available to purchase alongside our public liability insurance which covers claims made against your business from members of the public.
As a Hiscox Employers’ Liability policyholder, you will be required to supply some additional information about your business, including your Employer Reference Number (ERN), so it can be recorded on the Employers’ Liability Tracing Office (ELTO) database. Find out more about ELTO >
* The law states most employers must have Employers' Liability Compulsory Insurance. However, you may not need it if you have no employees, are a family business and closely related to your staff, or a public organisation (for example, a government department or a health service body) – Health and Safety Executive