Explaining Employers Liability (EL) Insurance Coverage…
Employers liability insurance is an important requirement for all employers. It ensures a business is protected against any legal and financial claims brought by employees if they should experience illness, injury or death as a result of their work. In this guide, we’ll explore the basics of employer liability and what options are available to businesses.
What is Employers Liability Insurance?
The insurance provides businesses with financial protection against legal claims made by employees who have experienced illness, injury or death as a result of their work. Having correct coverage in place can help to ensure costly claims from employees are covered and allow businesses to protect their profits and reputation.
Who needs Employers Liability Insurance?
Almost all businesses with employees — regardless of size or industry — require EL insurance coverage. This is because businesses must abide by the law to protect their staff from illness and injury at work. This is true even if the business has a written health and safety policy. Without employers liability insurance, not only can you be fined up to £2,500 per day for each day that you do not have coverage in place, but you may also face large claims which could financially cripple your business.
Are there any limits involved?
Yes, most employers liability policies have a limit of indemnity. This is the maximum amount the insurance company will pay out for each and every claim that’s made against you. Very often this limit of indemnity will be £5 million but it can vary depending on your industry and the type of business that you run. It’s important to read these limits carefully so that you have an understanding not just of what is covered. And also any exclusions or restrictions that may apply to your policy.
What exclusions are included within the policy?
Depending on the type of policy you have in place, there are some common exclusions to employers liability insurance. These can include claims brought against employers by: close family members; employees who were working outside of their normal duties; and employees excluded from the policy under certain circumstances (such as due to age or medical condition). It is important to check the policy wording carefully. Ensuring you understand any exclusions that might apply in your case.
How do I get Employers Liability Insurance?
You can get employers liability insurance by contacting Trinity Indemnity today! We will assess your business needs and help you choose the best policy for you. Giving you peace of mind that your employees are protected should something go wrong.