A Guide to the. Employers Liability. (Compulsory Insurance) (Jersey) Law, E.L.1 revised

Size: px

Start display at page:

Download "A Guide to the. Employers Liability. (Compulsory Insurance) (Jersey) Law, 1973. E.L.1 revised"

Shauna Cox
8 years ago
Views:

1 A Guide to the Employers Liability (Compulsory Insurance) (Jersey) Law, 1973 E.L.1 revised

2 A Guide to the Employers Liability What is Employers Liability Insurance? The Law requires employers to take out and keep up approved insurance policies with authorised insurers. This is to cover against liability for bodily injury or disease their employees may suffer in the course of their employment. Some employers are exempt from the Law (see page 3). A contract of insurance is based on the information an employer gives when the policy is taken out. If the information is not accurate, or the questions have not been properly answered, the policy may not cover all the employer s business activities; it may even be treated as void. If this happens, an employer may be prosecuted. It is important to make sure that the policy covers all aspects of the business and to tell the insurers in advance if there is a change of circumstances which may affect the policy. Insurers must issue a Certificate of Insurance to employers who take out or renew insurance policies. Employers must display the certificate, or a copy, at each place of business for the information of the employees. An employer must be insured for at least 5 million to cover claims arising out of any one incident. 1

A contract of insurance is based on the information an employer gives when the policy is taken out.

3 What is a business? The definition of a business in this Law includes a trade or profession and any activity carried out by an individual, or group of people whether or not they are incorporated. Many activities that might not normally be thought of as a business, but where staff are employed, for example in sports or social clubs, will come within this definition. However, it does not cover, for example, a domestic servant employed only to assist in the running of a private household. Who is an authorised insurer? Authorised insurer meansan insurer who is registered under the Insurance Business (Jersey) Law 1996 to carry out the business of employers liability insurance; or an insurer who is similarly registered with an appropriate body in a member state of the European Union. What is an approved policy? A policy that does not contain certain conditions that would allow the insurer to refuse to pay a claim under the policy. These conditions are set out in the Regulations. There is, however, no objection to conditions that allow the insurer to reclaim from the employer any compensation (including costs and expenses) paid by the insurer to the injured employee. 2 A Guide to the Employers Liability

However, it does not cover, for example, a domestic servant employed only to assist in the running of a private household. Who is an authorised insurer?

4 A Guide to the Employers Liability Who is an employee? A person who has a contract of service or apprenticeship with an employer. This can be by way of manual labour, clerical work, or otherwise. The contract may be stated or implied, oral or in writing. Employees may be full or part time. A student on work experience is also legally defined as an employee. Which employees are exempt? People who are not employees as defined in the Law (for example independent contractors who are not the employees of the people they work for). People employed in any activity that is not a business as defined in the Law (for example domestic servants). People whose employer is their husband, wife, civil partner, father, mother, grandfather, grandmother, stepfather, stepmother, son, daughter, grandson, granddaughter, stepson, stepdaughter, brother, sister, half-brother or half-sister. People who do not normally live in Jersey and who are working here for fewer than 14 consecutive days. Which employers are exempt? The States of Jersey; British Airways Board and any member of the group; British Broadcasting Corporation. A Company where the majority shareholder is also the sole employee. 3

People who are not employees as defined in the Law (for example independent contractors who are not the employees of the people they work for).

5 What is a Certificate of Insurance? The insurer will issue a certificate to show that the policy meets the conditions of the Law. The dates of the policy are shown on the certificate. The certificate must be issued to the employer within 30 days of a contract being initiated or renewed. The employer must display the certificate, or a copy, at each place of business where it can be seen by the employees. The certificate must be removed from display by the employer when the policy runs out or is cancelled. Inspections An authorised Inspector can ask to see the current certificate, or a copy, for inspection. The Inspector may also ask the employer to allow him to inspect the current policy, or a copy: the Inspector will give the employer reasonable notice. Employers must produce the certificate, policy or copies of them, if the Inspector asks to see them. 4 A Guide to the Employers Liability

The employer must display the certificate, or a copy, at each place of business where it can be seen by the employees.

6 A Guide to the Employers Liability What are the penalties? For every day on which an employer is not insured he may be fined up to Any official of a company involved in the offence may be prosecuted as well as the company. An employer may be fined up to 500 if he does not: display the Certificate of Insurance or a copy for the information of his employees; produce the certificate, or copy, when an authorised Inspector asks to see it; send the certificate, or copy, to the Social Security Department when asked to do so; allow the policy to be inspected by an authorised Inspector. Insurance claims The Law does not guarantee that an employee will get compensation. The purpose of the Law is to make sure that when an employee succeeds in a claim, the employer is insured and can pay compensation. 5

An employer may be fined up to 500 if he does not: display the Certificate of Insurance or a copy for the information of his employees; produce the certificate, or copy, when an authorised Inspector

7 The Law and Regulations This leaflet is intended to provide general information on the legal requirements. Reference should be made to the following Laws and Regulations, revised editions, for comprehensive details: Employers Liability (Compulsory Insurance) (Jersey) Law, Employers Liability (Compulsory Insurance) (Exemption) (Jersey) Regulations, Employers Liability (Compulsory Insurance) (General) (Jersey) Regulations, Copies of the Legislation can be purchased from the States Bookshop, States Greffe, Morier House, Halkett Place, St. Helier, Jersey JE1 1DD, or downloaded from Extra copies of this leaflet are available from the Social Security Department or at If you prefer, telephone the Health and Safety at Work Inspectorate on tel: +44 (0) , fax: +44 (0) or 6 A Guide to the Employers Liability

225 Employers Liability (Compulsory Insurance) (Exemption) (Jersey) Regulations, 1973 05.225.30 Employers Liability (Compulsory Insurance) (General) (Jersey) Regulations, 1973 05.225.60 Copies of the Legislation can be purchased from the States Bookshop, States Greffe, Morier House, Halkett Place, St.

8 Social Security Department, P.O. Box 55, Philip Le Feuvre House, La Motte Street, St. Helier, Jersey JE4 8PE Telephone: +44 (0) Facsimile: +44 (0) Website: AEADESIGN.COM Reprinted 2015

Helier, Jersey JE4 8PE Telephone: +44 (0) 1534 445505

The Employer s Liability (Compulsory Insurance) (Guernsey) Law, 1993 A SHORT GUIDE

The Employer s Liability (Compulsory Insurance) (Guernsey) Law, 1993 The Employer s Liability (Compulsory Insurance) (Guernsey) Law, 1993 A SHORT GUIDE This leaflet gives general guidance only, and is