How Liability Insurance Reduces Your Risks by malinajin143

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									How Liability Insurance Reduces Your Risks
There are different kinds of liability insurance. These include Business
Liability Insurance, General Liability Insurance, Fleet Insurance, PI
Insurance, etc. If you are employing staff for your business it is
mandatory by law to cover them against any kind of accident or injury
at work. In many instances this may also include self employed
contractors. As an employer it is important that you should have an
insurance cover that will pay when the employee gets injured, killed or
falls ill when at work. In most nations across the globe Employer’s
liability insurance is mandatory by law.



Benefits of Employer’s Liability Insurance

In the event any employee suffers from any injury or dies at work, the
employer’s liability insurance will pay the employee’s family. Having
such a kind of insurance policy reduces the employer’s risk against huge
claims from employees. Not having such a policy is detrimental to your
business interests since accidents are quite frequent and despite all the
precautions and safety measures, are unavoidable. In the UK, there are
many businesses that are still not covered for under the Employer’s
Liability Insurance. With raising awareness amongst workers world
wide, this can prove very costly for such businesses.



Arranging for Employer’s Liability Insurance

Employer’s Liability insurance is normally arranged when applying for
business insurance. Quite often, many business owners do not realize
that business insurance incorporates different types of insurance that is
relevant to the business. It may include: Employer’s Liability Insurance,
General Liability Insurance, Building Insurance or Property Insurance
and Motor Vehicle Insurance.



Cost of Insurance

The cost of any insurance is based on the claims experience of the
country and also and the perceived risk. This is normally determined by
the insurance companies themselves. In the United Kingdom, though
the minimum insurance to be held is £ 5.0 million, it is quite common
for companies to opt for £ 10 million. Within the same industry, the
costs may vary between employees belonging to different categories.
For instance, the cost of insurance for those working on scaffoldings
and roof tops is higher when compared to painters or fitters. Similarly,
the cost of insurance for those working inside an office is lower when
compared to those who are working in the field.

Finally, the Liability Insurance must cover all the employees in the
organization. Some employer’s insurance requires the exact details
about the number of permanent and temporary employees. In the
United Kingdom, the records of the Employers Liability Insurance
should be retained for forty years.

								
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