Employer’s Liability Insurance – what you need to know.
Many people in business assume that if you have Public Liability insurance in place then all is fine and you comply with the law. Wrong.
With the possible exception of a swimming pool operator, it is not a legal requirement to have Public Liability. It is however compulsory to have Employer’s Liability insurance in place when you employ staff – whether this is on a casual, temporary, part-time or full-time basis.
A couple of notable exceptions exist – for instance when the business only employs say a husband and wife, then this situation would be exempt.
What every business who employs staff should know is that there are substantial legal and financial implications if you don’t maintain a valid Employer’s Liability insurance policy.
Currently the Government agency HSE is able to impose DAILY fines of up to £2,500 if you fail to provide evidence of suitable Employer’s Liability insurance. Additional fines of up to £1,000 can be imposed too if you fail to correctly display your current Certificate of Employer’s Liability insurance.
Can you and your business afford to meet these costs, which within days can spiral into a five figure sum?
To obtain Employer’s Liability insurance, you would normally purchase this in conjunction with a Public and Products Liability policy, and more typically for Small to Medium Sized businesses, this is included within a Package Policy or a Business Combined insurance policy, which incorporates a number of covers.
For further information and advice, please contact Andrew Long, Commercial Account Executive at Cass Stephens Insurances Ltd.
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