Insurance

Am I liable if there are COVID infections in the workplace?

The decision to lift COVID restrictions this summer has been largely welcomed. However, it has not come without an equal amount of scepticism.

 

Many of us are concerned that easing up completely could lead to increased infection rates, and for some business owners, the worry has been over whether they will be liable if their employees or customers contract COVID-19 on their premises.

 

At the same time, there's a desperate need for many of these businesses to finally reopen.

 

With an evictions ban preventing commercial landlords from serving notice for a further nine months, the hospitality sector has already accrued a hefty £5 billion in rent debt.

 

What are your areas of exposure as a business owner?

 

It is a legal duty for employers to take reasonable care to ensure the health and safety requirements are met for their employees.

 

The question of whether an employer is liable or not is a difficult question to answer, hinging on what should be considered as 'reasonable' and heavily dependent on causation. Can the employee in question prove where they contracted the disease without any doubt?

 

Should a claim be made against an employer, factors such as severity and duration of infection would be considered, along with any potential loss in earnings over that period.

 

So, it's crucial that businesses continue to abide to the latest government guidance on safe work practices, especially for sector types that operate under conditions with increased physical contact such as delivery drivers and construction.

 

To avoid confusion for employers as well as consumers, the Federation of Small Businesses (FSB) have called for clearer guidance regarding legal liability from the government.

   

How can you minimise risk and protect your workforce?

  

Even though a large proportion of the UK adult population are now vaccinated, the rise in the number of variant strains makes it just as important to ensure you are prepared for a rise in cases in your local area, undertaking risk assessments and putting safety measures in place where necessary.

 

For industry-specific guidance, you should refer to the GOV.UK website, which is routinely updated: https://www.gov.uk/guidance/working-safely-during-coronavirus-covid-19

 

 

 

For more advice on how to protect your business interests in 2021, get in touch with our team today.

 

 

 

 

 

How is my insurance affected by working from home?

Following the changes of the last 18 months, it's projected that 25-30% of the global workforce will be utilising a hybrid way of working from 2021, with days spent evenly within an office environment and at home.*

 

Whilst some businesses and employees have relished the perks of working from home, many others are urging their teams to reconsider and come back full time, claiming that wellbeing is being compromised through remote working.

 

From the 1st of August, the government standpoint will switch to encourage a return to office spaces, meaning that anyone who continues to operate from home on a permanent or semi-permanent basis will be doing so by choice, not necessity.

 

Seven in ten are not aware that they should inform their insurer, should this be the case, or risk invalidating their cover.**

 

So, what changes do employers need to make to ensure employees are fully covered? 

 

As many employers move towards a flexible style of working, it’s important to ensure the correct policies are in place.

 

For example, encouraging your employees to check their home insurance policies, as work or office equipment may not be protected against theft or accidental damage.

 

If you or your team are keeping stock at home, it’s also advised to ensure those items are accounted for.

 

  

To learn more about how we can protect you, contact us today. 

 

 

 

*Global Workplace Analytics

**The Independent

 

 

Why you could invalidate your cover by making improvements to your home

There's a considerable amount of value in extending or renovating your property as a homeowner, yet one aspect that can get overlooked during all of the excitement is making sure you eliminate the risk of underinsurance.

 

75% of new homebuyers will make changes on a property once moving in, more often than not failing to take those changes into consideration when obtaining their home insurance policy or not updating their insurer.*

 

With many buyers missing out on the recent stamp duty holiday, it's expected that more of us will plan home makeovers to suit our needs instead.

 

If you’ve recently had or you are currently planning on having major building work done, such as adding a conservatory, converting the loft or adding an extra bedroom, you must receive planning permission and all work must be carried out following the correct regulations in order to avoid invalidating the cover on your home.

 

It is also worth remembering that even if the work carried out on your home is completed to the correct standards, you will still need to notify your insurer of these changes. When the original cost of your premium was calculated, this figure was based on the value of your home at that time and the potential rebuilding cost. If the value of your home were to rise due to improvements, you could be under-insured, and your cover may become null and void.

 

This also applies to any new constructions outside of your home such as garages and sheds, as your building insurance should cover both your home and outbuildings.

 

If you plan to work on your home, you should contact your insurer before any work begins, provide them with as much information as possible and be sure to ask if you need to make any changes or increase your cover for the duration of build.

 

Don’t forget to double-check your contents insurance at the same time, as your possessions may not be covered if they were damaged during the construction process.

 

To learn more, contact our team today.

 

 

*Co-op Insurance

 

 

Why you still need insurance when you're self-employed

Since December 2000, the number of self-employed workers in the UK has risen from 3.2 million to 4.35 million – peaking in 2020 at 5.03 million before the emergence of COVID-19.*

 

Whilst two-thirds (62%) say that their household is solely reliant on their income, fewer than 7% have the necessary cover in place to protect themselves in the case of being unable to work.**

 

What are the main reasons behind this?

 

Alarmingly, four in ten self-employed workers mistakenly believe that they're not eligible for income protection insurance.**

 

Not having the right information leaves a vast number of the working population at risk.

 

Over the course of the pandemic, the self-employed have been one of the hardest hit demographics, with 46% struggling to pay for basic expenses.***

 

This situation has given rise to the obvious need for better protection plans in place. 

 

 

Why is insurance essential for self-employed workers?

 

Risk exposure increases to a high level when you work on your own, meaning that should a mistake be made that has negative consequences on a client or third party, such as incorrect advice or damage to a client’s public image, then you could be left without any protection in the event that you are sued.

 

Mistakes happen and they can frequently be out of your control. Some examples of the sort of scenarios you could find yourself in as a self-employed worker include:

 

- Professional negligence (e.g. a small mistake on work for a client)

 

- Loss of data and documents

 

- Libel and defamation

 

- Loss of goods or money

 

- Unintentional breach of copyright or confidentiality

 

 

Professional Indemnity Insurance can help

 

PI insurance is a type of cover designed to offer protection for companies and businesses of all sizes with exactly the scenarios detailed above. 

 

To learn what protection plans and insurance solutions are needed for your unique situation, please contact our team today.

 

 *Statista

**Cover Magazine

***London School of Economics