Employers Liability Insurance
A legal requirement for UK businesses with employees. Comprehensive protection against employee injury and occupational illness claims. Minimum £5 million cover.
Legal Requirement
Employers\' liability insurance is a legal requirement for most UK businesses with employees. Failure to have adequate cover can result in fines and prosecution.
What Employers Liability Covers
Comprehensive protection against claims from employees injured or made ill as a result of their work.
Employee Injury Claims
Cover for claims from employees injured during the course of their employment.
Occupational Illness
Protection against claims for work-related illnesses such as stress, PTSD, or repetitive strain injury.
Legal Defence Costs
Cover for legal fees and court costs when defending employment-related claims.
Compensation Awards
Cover for compensation payments awarded by courts or settlements agreed with injured employees.
HSE Prosecution Defence
Some policies include cover for legal costs in defending Health & Safety Executive prosecutions.
Rehabilitation Costs
Cover for rehabilitation and medical treatment costs for injured employees.
What the Law Requires
Legal Requirement
Employers' liability insurance is a legal requirement for most UK businesses with employees.
Minimum £5 Million
The law requires a minimum of £5 million cover, though most businesses opt for £10 million.
Certificate Display
You must display your certificate of insurance at your workplace where employees can see it.
Continuous Cover
You must maintain continuous cover from the date you first employ someone.
Types of Employee Injury Claims
Employee injury claims can arise from various workplace incidents and occupational illnesses. Here are common scenarios where employers\' liability cover would respond:
- Employee slips, trips, or falls at work
- Machinery or equipment-related injuries
- Lifting or repetitive strain injuries
- Work-related stress or mental health claims
- Occupational diseases (e.g., asbestos-related)
- Accidents during work travel or at client premises
- Chemical or toxic exposure injuries
Did You Know?
Work-related stress claims have increased significantly in recent years. Modern employers\' liability policies typically include cover for stress, anxiety, and depression arising from work.
Occupational diseases can take years to develop. Employers\' liability cover protects against claims for conditions like repetitive strain injury, occupational asthma, and hearing loss.
The average cost of an employee injury claim can exceed £50,000 when legal costs and compensation are included.
Frequently Asked Questions
Is employers' liability insurance a legal requirement?
Yes. If you employ anyone (including family members in some cases), you are legally required to have employers' liability insurance. The minimum cover is £5 million, though most businesses carry £10 million.
Who counts as an employee?
Employees include full-time and part-time workers, temporary staff, agency workers, and in some cases, family members. Self-employed contractors may not require cover, but it's worth checking your specific situation.
What happens if I don't have employers' liability insurance?
Operating without the required insurance is illegal and can result in fines up to £2,500 per day. You could also face unlimited fines and potential prosecution. Additionally, you'd be personally liable for any employee injury claims.
Does employers' liability cover stress and mental health claims?
Many modern policies include cover for work-related stress, anxiety, and depression. However, cover varies between insurers, so it's important to check your policy wording. We can advise on policies with comprehensive mental health cover.
What's the difference between employers' and public liability?
Employers' liability covers claims from your employees. Public liability covers claims from third parties (customers, suppliers, members of the public). Both are important if you have employees.