Employers Liability Insurance
If you employ anyone in the UK, employers liability insurance is a legal requirement. Cecil helps you find the right cover at a competitive price.
Get in touchWhat is employers liability insurance?
Employers liability insurance covers your business against compensation claims from employees who are injured or become ill as a result of their work. It is a legal requirement in the UK for almost all businesses that employ one or more people, with a minimum cover level of £5m.
If an employee suffers a workplace injury or develops a condition linked to their job, they may seek compensation from you. Without employers liability insurance, your business would need to fund the legal defence and any payout from its own resources, which could be devastating.
Failing to hold a valid policy when you are legally required to can result in a fine of up to £2,500 for each day you are not insured. You must also display your certificate of insurance where employees can see it, or make it available electronically.
What is covered
- Employee injury claims
- Work-related illness claims
- Legal defence costs
- Compensation awarded to employees
What is not covered
- Injuries to members of the public
Covered by public liability insurance instead
- Damage to business property
Covered by buildings and contents insurance instead
Who needs employers liability insurance?
Any business with employees
If you employ staff, including part-time or temporary workers, you almost certainly need it by law
Construction and trades firms
Higher-risk environments mean employers liability is essential and often closely scrutinised
Care providers
Care homes and domiciliary care providers with staff handling vulnerable people
Hospitality businesses
Restaurants, pubs, hotels and cafes with front-of-house and kitchen staff
Businesses using subcontractors
HMRC may class some subcontractors as employees for insurance purposes, so cover may still be needed
WHY CECIL
Built differently.
UK specialists
Leading UK insurers only. No American-style policies retrofitted for British businesses.
Straightforward process
Tell us about your business. We find the options. You choose. No lengthy forms, no automated runaround.
Cover that actually fits
Cover that fits how your business operates, not a generic category. Tell us what you do and get the options that actually match.
Here when it matters
When something goes wrong, you need your insurer to respond. Only insurers rated for their claims handling.
Common questions about employers liability insurance
Is employers liability insurance a legal requirement in the UK?
Yes. If you employ one or more people in the UK, you are legally required to hold employers liability insurance with a minimum cover level of £5m. This applies to most businesses, including those with part-time, temporary or casual staff. Failing to hold a valid policy can result in fines of up to £2,500 per day.
Do I need employers liability insurance for subcontractors?
It depends on the nature of the relationship. If HMRC considers your subcontractors to be employees for tax purposes, you may need employers liability cover for them. If they are genuinely self-employed with their own insurance, you may not. It is worth checking with your insurer to be certain.
What is the difference between employers liability and public liability insurance?
Employers liability covers claims from your employees if they are injured or become ill because of their work. Public liability covers claims from members of the public, customers or other third parties. Most businesses with staff need both.
Who is exempt from employers liability insurance?
Sole traders with no employees are exempt. Family-only businesses where all employees are closely related to the owner may also be exempt in some cases. Limited companies with a single director and no other staff may not need it, but it is advisable to check, as the rules can be nuanced.
Industries that need this cover
Employers Liability Insurance is commonly required across these sectors.
Interested in Employers Liability Insurance?
We will be in contact when Cecil launches.