Employers' Liability Insurance
Employerâ€™s Liability insurance is an essential piece of cover for any employer, and is often a legal requirement.
If You Have Employees, Having Employers’ Liability Is The Law!
Protect yourself and your business against claims made against you by employees, following injury or illness caused as a result of carrying out their work. Working in the motor trade means there are likely to be lots of opportunities for accidents to happen, and injuries to occur, so make sure you’re protected. Don’t forget if you have any employees, you’re required by law to have cover in place! Get a quote now!
What Is Employers’ Liability Insurance And What Does It Cover?
Any motor trade business that has at least one employee is required by law to have sufficient Employers’ Liability insurance in place to protect their employees against illness, injury or even death, which arise as a result of their employment. In the motor trade, working with tools, heavy equipment and chemicals, there are numerous hazards and risks, meaning the chance of an accident occurring is high and so having the right insurance in place is vital.
Motor Trade Employers’ Liability Insurance Explained
As an employer, it is your responsibility to ensure the health and safety of anyone you employ in your business while they are at work. Accidents may occur and your employees may be injured, become ill or even die as a result of something happening in the work place. They (or their family in the event of death) may try to sue you and claim compensation if there is a belief that you, as the employer, are responsible. To protect business owners and employers against this, the Employers’ Liability (Compulsory Insurance) Act 1969 was introduced, making it compulsory for employers to have a minimum level of insurance to protect themselves.
You can be fined up to £2,500 per day that you do not have cover in place, should you be caught out, and this can be backdated to the start of the period of employment. The Employers’ Liability insurance would pay out in the event you need to cover any compensation claims for your employees’ injuries or illnesses. It doesn’t matter whether the injury is caused on your premises or off-site, as long as the person incurs them while carrying out their work.
However, if the injuries are as a result of a work related motoring accident, such as delivering a part, or collecting supplies, then they may be covered separately by your main motor trade road risk insurance policy.
So why do you need Motor Trade Employers’ Liability cover?:
- It is a legal requirement for all employers
- To protect your employees health and safety
- Cover compensation claims for illness
- Cover compensation claims for injury
- Cover compensation claims for death
- Protection for your business
- Peace of mind for your employees
Who Needs Employers’ Liability Insurance?
In short, any business, in any industry in the UK that employs at least one person (either employee contract or apprenticeship) needs Employers’ Liability cover. The law states that a minimum level of cover must be in place, however business owners can choose to increase this level for greater protection.
The minimum level of cover required is £5m, however it is the employers’ responsibility to judge whether £5m is sufficient to cover all risks and liabilities. It doesn’t matter whether you only employ a single mechanic or a part-time administrator or bookkeeper, you still need cover. If your business is not registered as a limited company and you only employ close members of your family then you may actually be exempt from this requirement, but if you’re not sure, then please check before deciding whether to buy a policy or not.
So, Employers’ Liability is a must for anyone working in the motor trade that employees any of the following:
Why Is It Important To Have Employers’ Liability Insurance?
Firstly, it is important to have motor trade Employers’ Liability insurance in place, as it is a requirement of law to have at least £5m of cover in place. The second reason is that it gives your employees peace of mind that should something happen, you are covered to compensate them and they won’t be left high and dry if anything happens to them and they are unable to work, and you are unable to afford to compensate them personally. Thirdly, if you are caught out without the minimum level of cover, you could be penalised with up to £2,500 fine for every day that you haven’t had the cover in place, which could cost your business tens, if not hundreds, of thousands of pounds and may result in you having to close your business in extreme circumstances.
So, why is it important to have cover in place?:
- It’s the law!
- To protect your employees
- You could be fined up to £2,500 per day
- It could force your business to close
- Good Business Practice
- Covers injury, illness and death to your employees
- Covers Legal Costs
Employers’ Liability Insurance – Don’t Get Caught Without It
Whether you employ a team of mechanics, admin staff, a bookkeeper, a cleaner or even a trainee, you need to have a minimum level of Employers’ Liability insurance in place to cover you in case any of your employees become sick, injured or are even killed as a result of carrying out their work duties – it’s required by law! What’s more, if you get caught without the necessary protection in place, you could be fined up to £2,500 per day, and the fine can be back-dated too! So why take the risk? Accidents happen, and as well as protecting yourself, you are also protecting your employees. So why have motor trade Employers’ Liability cover:
- It’s A Legal Requirement
- Cover Legal Defence Costs
- Illness Claims Covered
- Injury Claims Covered
- Claims Covered For Death
- Protect Your Employees
- Protect Your Business
- Give Employees Peace Of Mind
- Plus Add Public Liability Cover
- And Product Liability Cover Too
Why Choose Think For Employers’ Liability Insurance?
Are you still looking for more reasons to get an Employers' Liability insurance quote from Think? No problem, here are some additional features and benefits of our Employers' Liability insurance cover:
- We cover part-time and full time motor traders with employees
- We’ll cover your legal defence costs associated with any claims made against you
- We deliver award winning service
- We can also cover you for Public Liability and Sales & Service Indemnity
- Free 24/7/365 Claims Helpline
- Flexible payment options available for motor traders