Furley Page: Employers Liability Insurance - New Rules

Employers liability insurance covers the liability of an employer to pay damages to employees (current or former) for personal injuries sustained or illnesses arising in the course of employment. In general, an accident arising out of the course of employment will be deemed, in the absence of evidence to the contrary, to have arisen out of that employment.

Subject to limited exemptions, this form of insurance is compulsory. Employers failing to take out such policies commit a criminal offence for which there is a penalty of up to £2,500 for any day during which the employer operates in the absence of a suitable policy.