Employers' liability insurance is a legal requirement for the majority of businesses that employ workforce, irrespective of size. The policy covers the legal liability of an employer towards their employees for work related accidents. Apart from compensation, the policy also covers reasonable legal expenses incurred.
When researching what policy to buy it is important that you consider what cover your business needs. Carrying out a risk assessment of your business and its daily operations will help give a better understanding of your company and its requirements when looking for employers' liability insurance, in order to ensure that you have a policy to suit your needs.
Do you need employer’s liability insurance?
If you have contracted employees, you will almost certainly need employer’s liability insurance which is a compulsory requirement in Cyprus. Employers can be fined large amounts a day if they don't have adequate liability cover.
Things to consider when buying employer’s liability insurance
Be honest - when speaking to an insurance adviser it is important that you discuss your business risks in order to ensure that your coverage is comprehensive.
Look at the details - read the terms and conditions of your employers' liability insurance policy to make sure your company's requirements are fully covered.
Consider the risks - if an accident caused a member of your staff to get injured you could be liable for many thousands of euros’ worth of damages. Not only is it important to consider the welfare of your staff but also the impact on your business it might have.
When you take out the insurance you will receive an employers' liability insurance certificate. You are required to display this for all of your employees to view. Since 2008 this can also be displayed digitally, although you must be confident all of your employees fully understand how to access it, and where it is.
The G.A.P. Vassilopoulos Group acting as Coverholders on behalf of Lloyds Insurance company S.A. has been providing ‘A’ Rated Employers Liability products to the Cyprus Market for the past 40 years.
The protection of the employees as well as providing them a healthy and safe working environment, is a personal obligation of each employer and this is confirmed by the employer’s liability compulsory insurance law of 1989 (law 174/1989 - 2011).
Employers Liability Certificate of Insurance
When you take out or renew the policy, besides the standard policy documentation you will also be provided with a Certificate of Employers’ Liability Insurance. By law this certificate must clearly display the minimum level of cover provided and the companies covered by the policy. A copy of the certificate of insurance must be displayed where it can be easily read by your employees. From 1st October 2008, the regulations also allowed employers to display the certificate electronically. Employers choosing this method need to ensure their employees know how and where to find the certificate, and have reasonable access.
You can contact us at GAP Insurance Agency will contact you to discuss further information.