Skip to main content
The Actuary: The magazine of the Institute and Faculty of Actuaries - return to the homepage Logo of The Actuary website
  • Search
  • Visit The Actuary Magazine on Facebook
  • Visit The Actuary Magazine on LinkedIn
  • Visit @TheActuaryMag on Twitter
Visit the website of the Institute and Faculty of Actuaries Logo of the Institute and Faculty of Actuaries

Main navigation

  • News
  • Features
    • General Features
    • Interviews
    • Students
    • Opinion
  • Topics
  • Knowledge
    • Business Skills
    • Careers
    • Events
    • Predictions by The Actuary
    • Whitepapers
    • Moody's - Climate Risk Insurers series
    • Webinars
    • Podcasts
  • Jobs
  • IFoA
    • CEO Comment
    • IFoA News
    • People & Social News
    • President Comment
  • Archive
Quick links:
  • Home
  • The Actuary Issues
  • April 2015
04

One in 10 SMEs think employers' liability insurance not legally required

Open-access content Thursday 23rd April 2015 — updated 5.13pm, Wednesday 29th April 2020

Some 11% of SMEs are unaware that employers’ liability insurance is a legal requirement in any scenario, a study shows.

2

A survey of 1,507 SMEs from Aviva found a quarter of SMEs wrongly believe this is only legally required if a business has more than one employee. 

Using figures from Health and Safety Executive, Aviva said employers without the insurance carried the "risk of fines of £2,500 for every day the business is not properly insured".

The study also reported that SMEs were unsure of all other types of business insurance. A third (29%) were confident they had the right cover, but 12% admitted they had no business insurance at all. 

Aviva found firms' priorities for insurance differed according to their length of time in business. While a quarter of SMEs operating for less than a year had no insurance, only 5% of more established businesses (operating for 8-10 years) had none. 

Angus Eaton, managing director of commercial lines at Aviva, said: "Clearly SMEs need a strong understanding of their legal obligations and how they can protect their business and employees to keep it trading. One claim without adequate cover could easily be enough to put severe financial pressure on an organisation or even close it down completely."

Employers' liability insurance protects employers from liabilities such as staff illness or injury at work.

In terms of other employer obligations such as workplace pensions, the survey found a third of employers had set up auto-enrolment, but one in five (21%) had not done so even though they were aware of this obligation. More than a third of micro employers (36%) felt they were not required to set up auto-enrolment for employees. 

This article appeared in our April 2015 issue of The Actuary .
Click here to view this issue

You may also be interested in...

2

FCA fines SME insurer nearly £160k for mis-selling

The Financial Conduct Authority (FCA) has fined Moorhouse £159,300 for failing to oversee and control telephone sales of its commercial vehicle add-on insurance products.
Friday 24th April 2015
Open-access content
2

Telematics insurance 'likely to remain a low priority' for drivers

British drivers are “still in the dark” about telematics insurance as only 3% have a telematics policy, according to a study by uSwitch.com.
Tuesday 21st April 2015
Open-access content
2

Mobility scooters, lawnmowers and golf buggies may need motor insurance

Owners of vehicles including mobility scooters, lawnmowers and golf buggies may soon need to buy motor insurance, following a EU court ruling.
Friday 17th April 2015
Open-access content
2

Demand for cyber insurance doubles following high-profile attacks

The insurance market has seen strong growth in the demand for cover against cyber attacks.
Wednesday 8th April 2015
Open-access content
2

Insurers and lawyers join forces to tackle fraud

A new database to prevent false claims entering the compensation process has been launched by the legal profession and the insurance industry.
Tuesday 28th April 2015
Open-access content

Home insurance premiums continue to fall because of advanced planning

The cost of UK home insurance has continued to fall in the first quarter of 2015, with the average combined building and contents policy now costing £287 a year.
Thursday 30th April 2015
Open-access content

Latest from General Insurance

td

Brain power

The latest microchips mimic cerebral function. Smaller, faster and more efficient than their predecessors, they have the potential to save lives and help insurers, argues Amarnath Suggu
Wednesday 1st March 2023
Open-access content
bl

'Takaful' models of Islamic insurance

Ethical, varied and a growing market – ‘takaful’ Islamic insurance is worth knowing about, wherever you’re from and whatever your beliefs, says Ali Asghar Bhuriwala
Wednesday 1st February 2023
Open-access content
il

When 'human' isn't female

It was only last year that the first anatomically correct female crash test dummy was created. With so much data still based on the male perspective, are we truly meeting all consumer needs? Adél Drew discusses her thoughts, based on the book Invisible Women by Caroline Criado Perez
Wednesday 1st February 2023
Open-access content

Latest from April 2015

Majority of savers not confident about future of their pensions

More than half of savers feel uncertain about what the future holds for their retirement, warns the National Association of Pension Funds (NAPF).
Thursday 30th April 2015
Open-access content
ta

More than two thirds of financial services professionals expect regulators to increase scrutiny on model risk management

Some 68% of financial services professionals believe regulators will become increasingly focused on model risk management.
Wednesday 29th April 2015
Open-access content
2

Only one in three people receive an inheritance despite more than half of parents intending to leave one

A third of people receive an inheritance despite more than half of parents saying they plan to leave one, according to HSBC.
Wednesday 29th April 2015
Open-access content

Latest from small_opening_image

2

COVID-19 forum for actuaries launched

A forum for actuaries has been launched to help the profession come together and learn how best to respond to the deadly coronavirus sweeping the world.
Wednesday 25th March 2020
Open-access content
2

Travel insurers expect record payouts this year

UK travel insurers expect to pay a record £275m to customers this year as coronavirus grounds flights across the world, the Association of British Insurers (ABI) has revealed.
Wednesday 25th March 2020
Open-access content
2

Grim economic forecasts made as countries lockdown

A sharp recession is imminent in the vast majority of developed and emerging economies as the deadly coronavirus forces businesses to shut down across the world.
Tuesday 24th March 2020
Open-access content

Latest from 04

Majority of savers not confident about future of their pensions

More than half of savers feel uncertain about what the future holds for their retirement, warns the National Association of Pension Funds (NAPF).
Thursday 30th April 2015
Open-access content
ta

More than two thirds of financial services professionals expect regulators to increase scrutiny on model risk management

Some 68% of financial services professionals believe regulators will become increasingly focused on model risk management.
Wednesday 29th April 2015
Open-access content
2

Only one in three people receive an inheritance despite more than half of parents intending to leave one

A third of people receive an inheritance despite more than half of parents saying they plan to leave one, according to HSBC.
Wednesday 29th April 2015
Open-access content
Share
  • Twitter
  • Facebook
  • Linked in
  • Mail
  • Print

Latest Jobs

Senior Pricing Associate

Scotland / England, London
Up to £60000 per annum
Reference
149081

Outside IR35 - Reserving Contract - 6-8 months

London (Central)
Daily rate contract - outside IR35
Reference
149079

Actuarial Analyst - Longevity Reinsurance

England, London
Up to £55000 per annum
Reference
149080
See all jobs »
 
 
 
 

Sign up to our newsletter

News, jobs and updates

Sign up

Subscribe to The Actuary

Receive the print edition straight to your door

Subscribe
Spread-iPad-slantB-june.png

Topics

  • Data Science
  • Investment
  • Risk & ERM
  • Pensions
  • Environment
  • Soft skills
  • General Insurance
  • Regulation Standards
  • Health care
  • Technology
  • Reinsurance
  • Global
  • Life insurance
​
FOLLOW US
The Actuary on LinkedIn
@TheActuaryMag on Twitter
Facebook: The Actuary Magazine
CONTACT US
The Actuary
Tel: (+44) 020 7880 6200
​

IFoA

About IFoA
Become an actuary
IFoA Events
About membership

Information

Privacy Policy
Terms & Conditions
Cookie Policy
Think Green

Get in touch

Contact us
Advertise with us
Subscribe to The Actuary Magazine
Contribute

The Actuary Jobs

Actuarial job search
Pensions jobs
General insurance jobs
Solvency II jobs

© 2023 The Actuary. The Actuary is published on behalf of the Institute and Faculty of Actuaries by Redactive Publishing Limited. All rights reserved. Reproduction of any part is not allowed without written permission.

Redactive Media Group Ltd, 71-75 Shelton Street, London WC2H 9JQ