The following is a guest post.
From 2007 to 2011, the United Kingdom saw a rise of almost 20 percent in the number of liability claims made against our local and national businesses. Five years on, and now subject to an enmeshing period of recession, Britons have embraced and embodied the ‘claims climate’, working with Claims Management Companies (CMCs) to practise their believed right to sue over nonentities.
Though there are a genuine number of claims that pass through UK courts for members of the public, employees and clients that have experienced indisputable injuries and accidents, the number of fraudulent and hyperbolic cases are rising.
The Compensation Recovery Unit from the Department of Work and Pensions (DWP) has stated in recent reports that the total for recoveries throughout the 2010/11 working year exceeded an extortionate £10.6 million. Out of all the consumers recorded by the Association of British Insurers, over 51 per cent were contacted by CMCs before they processed their claim.
This tinged awareness of entitlement has been confirmed in the conspicuous increase in the number of work related absences made by employees. According to the Health and Safety Executive key annual figures, over 1.2 million workers took time off work in 2010/11 with industry inflicted illness.
The statistics go on to highlight that over 200,000 reportable injuries were made, which caused absence of a minimum of three days leave. A further 115,000 were reported under RIDDOR (Reporting of Injuries, Diseases and Dangerous Occurrences Regulations).
While employment features such negative traits, speaking with a Hiscox professional indemnity insurance specialist or a Hiscox liability expert will ensure your business gets the cover it needs to protect your enterprise.
Just as the majority of employers are happy to provide training to ensure staff competency within their role, health and safety guidelines and courses are often included as a compulsory key skills requirement. Looking at ways to confirm that instigated policies are followed by your workforce is essential – monitoring and managing progress and keeping official records of performance will cover you in the event of a claim.
Public liability insurance is not compulsory but is definitely beneficial for the majority of businesses. Whether you work with the public hosting events or offer expertise within the local community, public liability insurance will protect your business if any accidents or injuries occur during any of your activities.
In addition to any big physical inflictions, public liability insurance also protects against any mishaps when you are out of the office on business. Damaging goods – such as a computer, or presentation board – when visiting a client’s office is covered with public liability insurance. Also insured is any accident that occurs within your workplace if a consumer or client injures themselves due to unforeseen hazards.
If your business employs a workforce of any size, you are legally required to take out employer liability insurance. This cover will protect your business against any claims regarding work-related illness or injury. If an employee attempts to sue your business, your employer liability insurance will cover your legal fees and any compensation costs that may occur, should you company not be successful in its dispute.
When your trade works with more complex matters, such as intangible services, professional indemnity insurance providers will delegate a specialist to your service to ensure you receive the most suited package for your line of work.
While claims surrounding professional indemnity insurance can be problematic and ambiguous, your specialist policy package assures that you will receive funding to cover extensive legal fees, should the need arise, as well as any costly compensation expenditure.
These packages protect professionals who use their qualifications and specialist knowledge to provide expert services. In a case where their guidance, advice or product causes problems for the consumer, a claim may be filed on the grounds of negligence, copyright infringement, dishonesty or defamation. Incidents may also occur should your business be responsible for the loss or damage of clients’ company data or documentation.
The combination of recession and shrewd business attitudes has led to a climate where taking out additional insurance to project your business is not an option – it’s a necessity. Speak with a Hiscox professional indemnity insurance specialist and safeguard your enterprise against your worst case scenario.