EMPLOYERS' LIABILITY INSURANCE
If your business employs more than one person, it’s a legal requirement to have employers’ liability insurance. The purpose of this cover is to cover the cost of any claims an employee might make for work-related illness or injury. It protects your business against the costs of medical treatment, compensation, and any related legal fees.
DO I NEED EMPLOYERS' LIABILITY INSURANCE?
If you’re an employer then yes, you need employers’ liability insurance. You’re an employer if:
- you pay someone a regular wage
- you deduct National Insurance contributions and Income Tax from their pay
- this applies to even one person: you could be self-employed, but if you take someone on even just for contract work, you need employers’ liability cover
Without the correct employers’ liability cover, you’re at risk of a fine of up to £2,500 for every day your business is uninsured. Even if you don’t get fined, a claim brought by an employee for injury or work-related illness could put your business at financial risk. Read the government’s guide to compulsory employers’ liability insurance here.
WHAT EMPLOYERS' LIABILITY INSURANCE DO I NEED?
Legally, the minimum employers’ liability insurance you need must cover your business for £5 million. Tradesure employers’ liability insurance provides cover for £10 million as standard.
WHAT DOES EMPLOYERS' LIABILITY INSURANCE COVER?
Employers’ liability insurance covers you for legal fees and compensation payouts, including medical costs, incurred as a result of an illness and injury claim from an employee. If you get taken to court by an employee because of a health and safety breach, for example, your costs are covered by your employers’ liability cover.
IS EMPLOYERS' LIABILITY INSURANCE INCLUDED WITH ANY OTHER KIND OF COVER?
Employers’ liability cover doesn’t come as standard with any other cover, but you can take out what’s known as combined liability insurance which would typically pair this with public liability insurance.
With Tradesure you can also include your employers’ liability cover in combined liability insurance alongside additional cover options such as:
- Product liability insurance
- Directors’ and Officers’ insurance
- Professional indemnity insurance
- Trustee insurance
GET AN EMPLOYERS' LIABILITY INSURANCE QUOTE
FREQUENTLY ASKED QUESTIONS
EMPLOYERS' LIABILITY INSURANCE VS PUBLIC LIABILITY INSURANCE
- Employers’ liability insurance is a legal requirement for employers
- It protects you against claims due to employee injury or work-related illness
- It does not cover members of the public
- Public liability insurance is not legally required
- It protects you against claims from the public for injury or damage
- It does not cover your employees
