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HSE prosecutes firm for insurance failure

A Sunderland firm has been fined for failing to hold statutory insurance that enables employees to claim compensation should they be injured at work.

Section 1 of the Employers' Liability (Compulsory Insurance) Act 1969 requires that employers carry insurance against the personal injury of their employees. As well as being insured, employers must make available details of the insurance for staff to see. This requirement applies to most companies; exemptions include public organisations and certain micro companies.

The Health and Safety Executive (HSE) carried out an investigation after it received information suggesting the firm was uninsured. It found that the company did not hold any Employer's Liability Compulsory Insurance between 9th Feb and 13th December 2012. This meant the firm, which provides and installs solar panels, was not insured against liability for bodily injury or disease sustained by their employees resulting from their work.

The firm was fined £750 and ordered to pay £850 in costs after pleading guilty to breaching Section 1(1) of the Employers' Liability (Compulsory Insurance) Act 1969.

"As well as being a legal requirement, Employers' Liability Compulsory Insurance offers important protection for employers and employees alike,” commented HSE inspector Andrea Robbins.

"Failure to have such insurance could leave any employee who is injured or suffers ill health because of their work unable to get any compensation for their suffering.

"The failure of employers to insure is seen as a serious matter and HSE will continue to take legal action where appropriate," she added.

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