Insurance · 30 September 2015

Insurance in action – Employers’ liability insurance

Employers' liability is a legal requirement built to protect you if an employee is injured or becomes seriously ill through working for you
Employers’ liability is a legal requirement built to protect you if an employee is injured or becomes seriously ill through working for you

This week we’re wrapping up our run-through of the core business insurance covers – employers’ liability is the final policy we’re putting under the claims microscope.

A legal requirement built to protect you if an employee is injured or becomes seriously ill through working for you, it differs from public liability and professional indemnity – so what does your average claim look like?

Mind the gap

An employers’ liability policyholder was fortunate enough to win a building job. However, they were unfortunate in that their site suffered a fire, with a ceiling beam lost in the process. This was then covered by insulation, meaning that it was tricky to see the subsequent gap, and an unlucky employee fell through it – the result an insurance claim.

Total settlement: £5,700

Back to earth with a bump

A policyholder’s employee was working on some scaffolding during a roofing job when they lost their balance and fell awkwardly onto the concrete floor below. This resulted in a bone-shattering broken arm, which forced the employee out of work. The policyholder’s employers’ liability insurance shouldered the costs.

Total settlement: £14,129

Slippery customer

A delivery firm sent an employee to a job at a private address. Upon arrival the employee set about offloading, and everything was going perfectly… until he slipped on a guardrail and fell severely – breaking a wrist and injuring his shoulder. An insurance claim inevitably followed.

Total settlement: £23,12

In each of these cases the businesses involved were wise enough to put a policy in place. Without one they’d have been breaking the law, and they could have faced fines on top of those costs – potential fines of up to £2,500 per employee, per day.

So in short, if you’ve got one employee or more be sure to cover up!

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ABOUT THE EXPERT

Keith Lynn is a senior product manager at Simply Business, with almost ten years of experience – both working and studying – in the insurance industry. He has been with the company for four years as part of the products team. Much of his time is spent working with numerous insurers to improve the products they offer through Simply Business. Prior to his current role, he obtained a BA in International Insurance and European Studies at the University of Limerick.

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