Employers' liability insurance (otherwise known as EL insurance) will offer financial protection against compensation claims arising from injury or illness of your employees whilst at work.

All companies have a legal duty to protect the safety of their employees at work. It's worth noting that employers' liability insurance is one of the few types of business insurance that is compulsory under UK law.

Employer's liability insurance is a legal requirement for any business that has employees. If you are found not to have the insurance in place you can be fined up to £2,500 per employee per day.

What does employers' liability insurance cover?

Employers' liability insurance cover means your organisation is protected from having to make significant compensation payments beacuse of injury or illness of your employees.

The compensation payments awarded by the courts may include payments for medical bills, lost income, and their legal fees. Claims can become very expensive if a person is unable to return to work and support themselves.

Example employers' liability insurance claims:


Slips, trips and falls	Exposure to hazardous chemicals or materials	Falling objects
Faulty equipment	Inhalation injuries	Burns or scalds
Co-worker actions	Working at hight or underground	Muscle strains handling or lifting heavy objects
Crashes and collisions	Repetitive strain injury	Other hazard objects

Why choose get indemnity™ as your employers' liability insurance provider?

At get indemnity™ employers' liability insurance quotes starts from £80 per year or £6.67 per month. Commonly purchased under an office package policy if your activities are purely clerical based in an office environment.

Alternatively, we can provide cover under a builders' all risk insurance policy if you work within the construction industry, or if you operate as a wholesaler, manufacturer, retailer or distributor we can provide cover under commercial combined business insurance.

At get indemnity™ we can provide cover to variety of business activities that undertake either clerical, sales, supervisory, driving, warehousing and other manual activities. Call us on 0345 625 0711 to discuss your requirements.

Compare employers' liability insurance cost

Public liability vs employers' liability insurance

Both insurance covers will protect against personal injury and compensation claims, however the key difference is whether the cover will insure against liability claims from members of the public or your employees.

Insurance for personal injury claims will nearly always be purchased together from the same insurer because your risk profile is similar and a claim could occur where both covers would be required to pay compensation.

To obtain your combined employers' and public liability insurance quotes tailed to your business activities, please give us a call on 0345 625 0711 or arrange for one of our account executives to give you a call-back.

Is employers' liability insurance compulsory in the UK?

Employers' liability insurance is one of the few types of insurance which is compulsory under UK law. Combined with public liability insurance they play an important role ensuring that employers and businesses can meet compensation awards.

All employers have a duty of care to provide a safe working environment for their employees. If you fail and an employee is injured, or becomes ill, as a result of your negligence, you may be required to pay compensation.

It is worth noting employers are responsible not only for their own acts of negligence, but also for those of their employees. To obtain your EL quote, please complete our digital onboarding process or call us on 0345 625 0711.

Who does employers' liability insurance cover?

An employee is typically defined as "any person who is under a contract of service with the policyholder". Employers' liability insurance will also typically include self-employed persons, hired persons, students, and voluntary workers.

It's worth noting the injury or illness must have been caused in connection with the policyholder's business activity. However, the insurance cover can also include activities such as first aid, medical, ambulance, fire and security services and maintenance.

Employers' liability insurance definitions

Employers' liability insurance definitions are typically homogenous, however it's worth having a conversation with your insurance broker to explain whether the cover will suitably protect your business activities.

How much employers' liability insurance do we need?

The minimum limit as described by the UK government website must be for a £5 million limit. However, it is common practice for insurers to offer £10 million at no additional cost.

The amount of cover you require will depend upon the industry you work and whether your employees perform manual work. For example, many companies working within the construction industry will purchase between £15 million to £25 million.

Prudent businesses and organisations are increasingly purchasing an Excess of Loss policy to provide increased limits for their liability exposures. You can purchase an umbrella policy which will follow variety of liability covers.

How much can employers' liability insurance claims cost?

Personal injury compensation can include financial recompense for any expenses incurred, loss of earnings, possible loss of future earnings, pain and suffering.

Note the discount rate was amended in March 2017 (and again in August 2019) by the Lord Chancellor has had a significant impact on how damages are calculated over a long period.

An Employee suffers a broken back and brain injuries after an accident, they are likely to require significant long-term care: A claim paid before March 2017 (+2.5% rate) equals £4.9m, whereas a claim paid after August 2019 (-0.25% rate) equals £9.8m.

The example above identifies what a significant impact the change in law has had on the potential cost of personal injury claims.

How does a employers' liability insurance policy work?

EL insurance works on an occurrence basis, whereby the policy period in which the loss occurred will respond, irrespective of when the claim is made. This is required because some diseases and subsequent claims may not become apparent until years after the employee was exposed to unsafe conditions.

For example, if an ex-employee becomes ill from asbestosis while they worked for you in 2001, but claims years after when the disease is identified, the occurrence policy in 2001 will respond to the claim.

The above ensures if a business becomes insolvent or is acquired, there are no disputes as to who is responsible. For gradually developing diseases, such as asbestosis, the insurers who covered the risk over the development period will share the cost.

Are we required to display our insurance certificate?

Employers must display, at each premises, a certificate of employers' liability insurance to demonstrate the employer has the required insurance. Subsequent amendments to the regulation now allow for a certificate to be made available electronically, potentially through an intranet site, provided all employees have access to it.

If you do not hold valid employers' liability insurance, you can potentially be fined £2,500 for each day you are not insured. Whereas you can potentially be fined £1,000 if you do not display your certificate.

The Health and Safety Executive offers a brief guide for employers regarding the Employers' Liability Compulsory Insurance Act 1969.

How can I compare public liability insurance quotes?

At get indemnity™ we can identify a variety of insurance quotes for your business from the wholesale market. Employers' liability is commonly purchased with public liability insurance to provide blanket cover.

Quotes for public liability insurance can be obtained by completing our digital onboarding process or by giving one of our experienced account executives a call to discuss your needs on 0345 625 0711.

Public liability insurance vs employers' liability insurance

Legal Notice

Articles & Insights FAQs

Privacy Notice

Glossary of Terms Manage your policies

Terms of Business

Make a claim Sitemap

Tel:0345 625 0711

Social Media

© 2021 Get Indemnity is the trading name of Insurance Direct Group Solutions Limited authorised and regulated in the UK by the Financial Conduct Authority (FRN 802038). Registered office: The Dock London, Tobacco Quay, Wapping Lane, London, E1W 2SF. Please visit the FCA website at www.fca.org.uk or telephone on 0800 111 6768 for further regulatory details.

Insurance Guides

Insurance by Industry

Articles, Insights and FAQs

Get Indemnity™

Employers Liability Insurance

Compare employers' liability insurance quotes to protect against claims from employee injury or illness

Get indemnity™ employers' liability

What is employers' liability insurance?