Employers’ Liability Insurance
If you employ staff, whether full-time, part-time, temporary, or even volunteers, Employer’s Liability Insurance isn’t just a wise move, it’s a legal requirement in most cases. Chris Knott’s Employer’s Liability cover gives you the confidence that, should something go wrong, you’ve got the right protection in place.
Our team works with a panel of trusted insurers to arrange compliant, flexible policies designed to cover the risks you face as an employer. We help you meet your legal obligations without overpaying for protection you don’t need.
Why You Need Employer’s Liability Insurance
Even in the safest working environments, accidents and illnesses can happen. If an employee claims that their injury or illness is the result of their work, the employer’s liability insurance covers the legal costs and any compensation awarded, so your business doesn’t have to shoulder the financial hit.
You’re likely required by law to have cover if:
You employ anyone other than yourself
You have volunteers, apprentices, or temporary workers
You operate as a limited company with more than one director
At Chris Knott, we make sure your policy meets legal standards and is tailored to your setup, whether you’re running a small business, charity, or larger enterprise.
What’s Typically Covered?
Our Employer’s Liability Insurance policies can cover:
Legal defence costs following a claim
Compensation payouts due to injury or illness
Claims from current or former employees
Cover for both full-time and part-time staff
Optional cover for volunteers or contractors
If your policy needs to integrate with public liability, professional indemnity, or other forms of commercial cover, we can handle that too.
I have found that they are a business with a very personal approach and have the client’s best interests in mind to find them the most suitable and competitive deal.
Ralf Sims.
Employers’ Liability Insurance FAQs
Got questions? Our Employers’ Liability Insurance FAQ covers the essentials, including what it is, who needs it, and why it’s a legal requirement. Contact us to speak to a professional!
Employers’ Liability Insurance is a policy for businesses that employ people. It is a legal requirement for businesses with employees or volunteers. It provides financial support for claims of illness or injury brought by an employee as a result of their work and allows your business to defend claims and/or pay compensation. Your insurer will issue an Employers’ Liability Insurance certificate when you take out a policy, which should be displayed prominently.
It covers employee claims for illness or injury as a result of doing their job. As such, it may pay for your legal representation in defence of a claim, the cost of taking time off to attend court, plus any compensation and legal or medical bills won by the claimant.
It is a legal requirement for all businesses with employees in the UK. This includes organisations with volunteers, apprentices or interns. Businesses that do not have appropriate Employers’ Liability Insurance may be subject to fines.
If you employ at least one other person in your business, you will likely need to have Employers’ Liability Insurance in place. It’s important to note that an employee includes anyone that works for you in a full–time or part–time capacity, as part of a work experience placement or apprenticeship or on a voluntary basis. However, if any of the following apply, you may be exempt:
- You do not have a limited company and only employ close family members, such as your spouse, civil partner, parents, grandparents, children, step family or half siblings.
- You employ workers such as cleaners or gardeners but they work for more than one organisation.
- You have only one employee who owns 50% or more of the business’ capital.
- You are self employed.
- Your business consists of equal partners with no other employees.
The situation is more complex when it comes to contractors and subcontractors, so it is best to seek advice if your business uses these workers.
The law says that you need at least £5 million of cover, although most insurers offer at least £10 million. This is because the £5 million also needs to cover legal fees and other costs, which can diminish the amount remaining to pay compensation and damages.
If you own a group of businesses, you can take out a group policy of £5 million rather than separate policies for each business. However, you may want to increase this limit for additional peace of mind.
Your insurance is in place to ensure that your employees receive the compensation and damages they are owed if they make a successful claim against you. Your insurer cannot refuse to make a payment because:
- You have not provided reasonable protection for your employees.
- You have not kept records or provided your insurer with those records.
- You have done something they told you not to do.
- You have not done something they told you to do.
- You have not met any legal requirement relating to the protection of your employees.
However, just because your insurer will need to pay out despite these conditions, this does not mean that you cannot fulfil your legal obligations. It is your responsibility as an employer to protect your workforce. If your insurer does not believe that you have fulfilled these obligations, they may take legal action to reclaim their costs.
While there are lots of websites and companies from whom you can buy Employers’ Liability Insurance, we recommend speaking to an independent insurance broker like ourselves for a quote. We will carefully assess your risks and recommend the most suitable policy for your needs.
Contact Chris Knott Insurance for an Insurance quote today on
0800 917 2274.
