Employers’ Liability Insurance

Why do you need Employers’ Liability Insurance?

Employers’ Liability Insurance is compulsory by law for most businesses. As an employer, you are responsible for the health and safety of any worker under a contract of service. If a worker suffers an injury or an illness that they believe is your fault, they may try to claim compensation from you.

  • Workplace injuries
    In 2016/17 over 679,000 workers sustained a non-fatal injury1 and 144 workers were killed in 2017/18 as a result of a workplace accident.2
  • Employee claims
    Employers’ Liability Insurance provides cover for claims made by past or present employees, volunteers, and the like.
  • Health and Safety inspections
    If you are unable to provide your certificate of insurance along with other insurance details at inspection, you may be fined.

How our liability experts can help

Whether arranged as part of a commercial combined insurance solution or in isolation, we have experience in arranging this cover for companies across most industries and of different sizes. We can advise you on the level of cover you may need within the appropriate insurance package for you.

1. hse.gov.uk/statistics/causinj/index.htm
2. hse.gov.uk/statistics/pdf/fatalinjuries.pdf

Public Liability Insurance

If a serious accident occurs in-store, or because of faulty products, an investigation by health and safety authorities could arise. Public Liability and Product Liability Insurance provide protection for claims brought against you by affected parties.

Management Liability Insurance

You’ve worked hard to make your business a success. But in today’s world of regulations and legislation, an individual pursuing legal action could put your livelihood at risk. As a company director, you could be held personally liable. We can provide expert guidance to find a solution that best suits your business objectives.

Professional Indemnity Insurance

Whatever your needs, our team of professional indemnity insurance specialists can help cover you against the risks you and your business face. We understand that every business is different and we can recommend solutions to cover your business against a wide range of risks.

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Frequently asked questions

What does Employers' Liability Insurance cover?
Employers’ Liability Insurance will help you pay compensation if an employee is injured or becomes ill because of the work they do for you. It can also cover legal and defence costs resulting from a claim.
Do I need Employers’ Liability Insurance?
Yes. Under the Employers’ Liability (Compulsory Insurance) Act, all organisations that have staff are required by law to have EL Insurance.

When do I need to get EL cover?
 You require employers’ liability cover from the day your business starts employing staff. From the moment you have any person to whom you are responsible, whether paid or not, you are at risk of legal action. To qualify as "staff" a person does not have to be paid or under contract to you. It includes any person to whom you have a legal duty of care. This means that sometimes even sole traders will need employers’ liability insurance.
For what types of staff do I need Employers' Liability cover?

You need Employers’ Liability Insurance for all types of staff that work for you. Note that an ‘employee’ is not necessarily someone who is paid by you – this can be anyone under a contract of service including volunteers or any person under your temporary control, whether on a contract or not:

  • full-time employees
  • part-time employees
  • directors
  • voluntary workers
  • seasonal staff
  • contract staff
  • labour only sub-contractors
  • students or work placements
Are there any exceptions to the type of employees I need to cover?
You may not need cover if you only employ a family member or someone who is based abroad – see http://www.hse.gov.uk/pubns/hse39.pdf for information. If you are a limited company most exceptions will not apply to you, unless the company employs only its owner, with that owner also holding over 50% of the issued share capital.
Can employees claim even if my business goes into liquidation?
Yes. Employees injured because of your negligence can seek compensation even if your business goes into liquidation or receivership.
What is the minimum cover I need to have in place?
You are legally required to have cover for compensation of at least £5 million, but most policies will offer cover for £10 million. The cost of your premium is usually based on a number of factors including: the nature of your business; the number of people you employ (and/or the payroll cost); your previous insurance claims. In the case of larger organisations or where a number of employees are in one location, increased limits are recommended.