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The importance of employer’s liability insurance

Small businesses are being encouraged to ensure they have taken out employer’s liability insurance to protect both their employees and their business. 

Employer’s liability insurance is a legal requirement and any employer found not to have it, could be presented with a heavy fine.  The insurance is designed to pay out in the event of an accident at work or if an employee suffering a work-related illness. Every year companies are dealing with work related accident claims with the most common being related to trips, slips and falls.

Most businesses are used to dealing with these claims and have adequate insurance to cover them. However fewer companies are aware that an employee who becomes ill through being at work can also make a claim. It is difficult to predict what if any accidents and illnesses will occur if the work place in any one year however for most organisations it is statistically unlikely that there won’t be any at all. Therefore it is essential to have employer’s liability insurance to protect employers if and when accidents occur.Updated on 5/16/2008

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