Employers Liability Insurance – Protect Business and Your Employees

Employers liability Insurance covers the following: an employee falling ill, or getting injured in the workplace, or the case of an employee’s death. Employers liability insurance is a must have insurance. There can be only two exceptional situations where you can save yourself from getting an employers liability insurance. Either you are running a single employee company, you being the only employee, or if you only hire your family members. In any setup other than this, employers liability insurance becomes mandatory.

Employers liability insurance is a legal obligation in many countries of the world, such as the USA, Britain and many others.

Your insurance provider is obligated to all the costs incurred if an accident happens at your business and your employee or employees decide to take legal action. Your insurance provider will cover your legal fees, medical fees, and any other fee related to the legal proceedings.

If you are not at fault for your employee’s injury, your costs can be substantially reduced or eliminated altogether. The determination of who is at fault in the case of an injured employee is a large determining factor in the cost and outcome of claims.

If you don’t acquire employers liability insurance, you are vulnerable to a legal monetary penalty for each day that your employees were not provided the insurance. Not only that, health and safety authorities might close down your business forcefully. This is certainly not the kind of risk any businessman would take.

The insurance certificate that you get must be available for your employees to read. You can put up a copy of the certificate on your company’s information board and perhaps put another copy on the company website, whatever way suits you better.

Employers liability insurance will only cover your employees. For people outside of the organization, you will need a Public liability insurance policy. This is meant to cover the case of a visitor suffering an accident inside your organization’s premises.

Furthermore, EL insurance does not protect your from discrimination claims, wrongful terminations claims, harassment claims, etc.

Your insurer must be authorized, otherwise you will be breaking the law. Also, you would want to compare the premium costs of different insurers so that you get yourself a decent deal.

The beauty of EL insurance is that it protects you from having to directly pay costs in the event an employee is injured on the job. It protects both you, by being able to cover any costs without going out of business, and the employee, who may be unable to work temporarily.

About the author: Ben Ashfalk is passionate about employer liability insurance and liability insurance coverage.