The Employers Liability (Compulsory Insurance) Act 1969 states that anyone who employs people to carry out work for them must have employers liability insurance. The minimum limit is £5,000,000 any one occurrence, with £10,000,000 the marker norm.
What is covered? The legal liability of the company or organisation following injury to an employee.
When arranging cover for our clients, due consideration is given to:
- Basis of premium
- Premiums are charged based on the estimated wages of a business for the 12 month policy period. It is essential these are not over estimated as return premiums are generally not allowed. High risk activities should be split out to avoid overcharging, these include:
- Work away wages
- Wages relating to work away from your premises
- Use of heat
- Wages relating to work away from your premises involving the application of heat
- Work offshore
- Wages relating to work on offshore installations or accommodation and support vessels
- Work at height
- Work at height in the open ie. not within a building. A height limit may be applied to a policy if the insurer suspects any work of this nature
- Work at depth
- Wages relating to work below normal ground level not within a structure or building
- Premium rates
- We will always share the rates being charged with you to enable accurate apportionment between business activities and divisions and assist with tender exercises
- Indemnity limit
- The largest single personal injury award in the United Kingdom now exceeds £8,000,000 and a recent incident has prompted an initial estimate of £12,000,000. The limit is inclusive of legal costs and with the time taken for a claim to be settled, our advice is that for all companies, £20,000,000 should be considered the minimum
- Local labour
- Care needs to be taken when working abroad and employing local labour. We have the tools required to advise on cover issues and arrange additional insurance to avoid issues with local regulations in other countries
Castlemead Insurance Brokers have the knowledge, experience and market connections required to competitively place the required cover for your business.