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Employers’ liability insurance

In much the same way as motorists must protect third parties, employers of labour are bound by law to keep an insurance policy that will cover injury, death or industrial disease incurred by employees whilst on the employers’ premises. This liability is in no way reduced by the existence of the State national insurance scheme, although there is an area of overlap. The relevant statute is the Employers’ Liability (Compulsory Insurance) Act 1969.

Reference: The Penguin Business Dictionary, 3rd edt.