Hi, my name is Ben Leech, and I'm an advisor for Towergate.
In this video I’m going to address the question of whether you need employer's liability insurance.
So let’s start with the short answer… if you have employees – yes, you need employer’s liability insurance.
And not just because it is a legal requirement either, but because as employers, we have a duty of care to our staff.
There are few situations where a business is not legally required to have employers liability insurance, for instance, if all your employees work abroad, UK law would not require this of you. But this doesn’t mean they don’t have a duty of care to their employees, or that they wouldn’t be held liable if there was a claim.
So what is Employers’ liability insurance?
Well, it protects employees if they are injured as a result of an accident at work or if they become ill as a result of doing their job.
If you, the employer is responsible and compensation has to be paid, employers’ liability insurance can provide funds to make these payments. It can also cover the legal costs in dealing with such a claim.
So how much cover do you need?
The legal minimum is five million pounds in the UK. Ten million however is closer to the cover most business operate with. For example, many of the policies Towergate sell offer this much as standard.
Ten million might sound like a lot at first but imagine someone has an accident and they needed rehabilitation and care for the rest of their life. With employers liability insurance you can be sure you have the cover to provide this for them in any case where you are liable.
Browse our liability videos for more info or contact us today to speak with an advisor.