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Do I need Employers Liability Insurance?

If you're a business owner, there's an essential insurance you need to know about: Employers’ Liability (EL) insurance. Here's a quick breakdown of what it is and why it's crucial:


What is EL Insurance? Once you hire an employee, you're required to have EL insurance. This insurance assists in covering compensation costs if an employee gets injured or falls ill due to their job.


How Much Coverage Do I Need? Your policy should provide a minimum coverage of £5 million. Ensure you purchase it from an authorised insurer.


Are There Any Exceptions? If you only employ family members or individuals based overseas, you might not need this insurance.


The Risks of Non-Compliance:

- Not having the right insurance? That's a hefty fine of £2,500 for each day you're uninsured.

- Failing to display your EL certificate or not providing it to inspectors upon request can cost you £1,000.


How Do I Check My Insurer's Credibility? Verify if your insurer is authorised by checking the Financial Conduct Authority register or directly contacting them.


Need Help Choosing the Right Policy? Please speak to us, in order to guide you in purchasing correct EL insurance.


In summary, EL insurance is not just a legal requirement but a safety net for your business. Ensure you're adequately covered to protect both your employees and your business.




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