Employers’ Liability Insurance for Contractors

It depends. As explained, if you have anyone working for the company (other than your spouse), then you must by law hold this kind of insurance. However, given many contractors are one person companies, it may not be an immediate requirement. That said, check with your client and or agency, given some businesses prefer that businesses they engage have this cover in place.

If you expand your business and bring on employees (whether permanent or temporary), you’ll need employers’ liability cover. Without a minimum of £5m worth of cover you could be fined £2,500 for every day you’re uninsured.

This business insurance protects you from a number of claims made by employees. But generally speaking it is designed to cover you against injury or illness suffered by employees during employment or ones that have arisen as a result of  their employment – whether slips, trips, falls or serious injury and illness.