Employer Liability Insurance is a legal requirement if your business has employees. This insurance provides financial cover for employee’s injured at work or who become ill as a result of the work they do for you. This insurance covers the cost of compensation to a claimant and legal fees.
This type of insurance policy needs to cover not only all conventional staff, but also contract, casual, seasonal and temporary staff.
Legally you are required to have at least £5m cover in place, otherwise you could be fined up to £2,500 for each day you fail to have appropriate insurance in place.