What is Public and Employers Liability insurance?

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Public & Employers liability insurance provides cover for the costs and expenses of dealing with personal injury or third party property damage claims which arise out of the running of your business.
(As with all insurance policies, cover is always subject to the policy terms & conditions – so please read your policy document)

How does a liability claim work? – Example: Employee has a fall at work & sustains an ankle injury.

The Employee initiates a personal injury claim against his Employer via a solicitor.

The solicitor writes to the Employer alleging that the injuries were caused due to the Employers failure to provide a safe working environment – as is required by law. The solicitor makes a number of allegations including that the Employee was not supplied with correct PPE & that there were not adequate handrails installed in the workplace.

The employer passes the solicitors letter to his liability insurer.

The liability insurer then enters negotiations with the solicitor and 18 months later they agree a settlement outside of court. The insurance company pays for the legal costs and the settlement costs. The Employer pays the policy excess.

The following is an example of the operative clause taken from an Employers Liability insurance policy:

Subject to the exclusions, conditions and definitions of this policy, we The Insurer will indemnify you against:
a) all sums which you shall become legally liable to pay as damages; and
b) costs and expenses
in the event of bodily injury sustained by any employee which arises out of and in the course of their employment by you in the business.

The following is an example of the operative clause taken from a Public Liability insurance policy:

The Insurer will indemnify the insured in accordance with the applicable Insuring Clause in respect of accidental:
1. Bodily Injury to any person
2. Physical loss of or damage to tangible property
arising out of the Business and occurring during the Period of Insurance.

Indemnity shall only apply to Bodily Injury or physical loss of or damage to tangible property occurring:
1. In the Republic of Ireland.
2. In the course of temporary visits abroad by non-manual Employees.

The full policy document will then go on to list a number of terms, conditions, warranties & exclusions which apply. The policy document should be read in conjunction with the policy schedule and any specific endorsements added to the policy.

Martin Insurance provides bespoke liability insurance cover for a range of clients in Construction, Contracting, Manufacturing, Waste, Leisure, Professional Services, Technology, Retail & Transport.

If you would like a quotation, please call us on 049-4332944, e-mail info@martininsurance.ie or complete our online enquiry form.

Disclaimer: The material contained is this article is for general information purposes only and does not constitute professional advice.

James Martin
James Martin
James Martin has 16 years of experience as a general insurance broker. He is a member of the Chartered Insurance Institute and has completed a Diploma in Corporate Finance.

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