Employers' liability insurance - how secure is the system?
Author: Parsons, C.
Source: Industrial Law Journal, Volume 28, Number 2, June 1999 , pp. 109-132(24)
Publisher: Oxford University Press
Abstract:Private employers' liability insurance is compulsory for virtually all employers. It plays an increasingly important part in funding compensation for those who are injured at work, with total payments now exceeding those made under the state Industrial Injuries Scheme. A full review of the law on compulsory insurance has just been completed, and new regulations have been produced. However, many gaps remain in the law, and the security of the injured employee has, if anything, declined since it was originally introduced. This paper analyses the law on compulsory employers' liability insurance and compares it with the parallel regime which applies to the use of motor vehicles. It concludes that there are glaring inconsistencies between the two systems and that these discrepancies cannot be justified by reference to the risks involved. The position of the road accident victim is enormously secure, because gaps in the compulsory insurance system have been plugged over time by a combination of court decisions, European law, domestic legislation and voluntary codes of conduct. By contrast, the employers' liability system remains a flawed one and it will continue to fail some employees, who will not receive the compensation to which they are entitled.
Document Type: Original Article
Affiliations: City University Business School
Publication date: June 1999
- Industrial Law Journal is established as the leading periodical in its field, providing comment and in-depth analysis on a wide range of topics relating to employment law. It is essential reading for practising lawyers, academics, and lay industrial relations experts to keep abreast of newly enacted legislation and proposals for law reform. In addition Industrial Law Journal carries commentary on relevant government publications and reviews of books relating to labour law.