Employers Liability Insurance - Covers both Employer and Employee

By Ben Ashfalk

Employers liability insurance gives protection to the business owner (employer) and the worker (employee) alike. It is effective in three cases. First, in case your employee falls ill, second, he suffers an injury and third, in case of an employee's death. Acquiring employers liability insurance is a legal obligation for every business. There is no escaping it. However, if you are your only employee or you don't hire anyone outside your family, only then can you make an exception.

USA, Britain and many other countries force a policy of mandatory employers liability insurance acquisition.

The protection employers liability insurance offers is great. In the event of an accident, and your employee(s) decide to sue you, the legal and medical fee will be covered by your insurance provider.

What the claims bring about will depend upon whose negligence caused the accident in the first place. If the employee was at fault, the extent of his fault will determine as to whether your costs are cut down or they completely vanish.

If you don't acquire employers liability insurance, you are vulnerable to a legal monetary penalty for each day that your employees were not provided the insurance. Not only that, health and safety authorities might close down your business forcefully. This is certainly not the kind of risk any businessman would take.

Make sure your insurance certificate is viewable by your employee(s). Put up a copy of it on notice boards in your office, and perhaps also on the company website.

EL insurance does not cover public. It only only covers your employees. In the event a customer or third party is injured on your premises, your commercial/public liability coverage will cover the costs if legal action is taken.

Employers liability insurance doesn't cover claims such as wrongful termination of an employee or sexual harassment or sex discrimination etc.

It is important that your EL insurance is issued and serviced by an authorized insurer. If it is not or you are unsure, you may be at legal risk. The premium costs also vary so it is in your best interest to find a reputable insurer that provides great service and coverage at a reasonable cost.

Employers liability insurance is a protection for both the employee and the employer. The employee gets coverage in the event of an accident, and the employer is able to save money. This insurance plan is surely a relief.

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