From the noticeboard to the internet

The age old practice of displaying Employers Liability Insurance certificates on notice boards in the workplace could soon be a thing of the past.

Until recently, companies were required to display paper copies of their employers’ liability compulsory insurance certificate (ELCI) and retain old certificates for 40 years, but there is now no legal requirement for them to do so. 

Employers Liability policies provide firms with cover for their legal liability to current or former members of staff, who may become ill or sustain injuries as a result of their work.

Up until recently, it was a legal requirement that the current policy certificate was prominently displayed within the workplace.  But new legislation means that a hard copy of the certificate no longer has to be displayed as long as it is available to be viewed electronically, for example on the company’s website or intranet.

However, Spiral’s approved insurance broker BiB is warning that any business choosing to display its ELCI online must ensure that all employees know how and where to find it.

Brian Jackson, director of BiB’s Corporate division, said the change in legislation was significant for most businesses.

“A copy of the certificate of insurance must still be displayed, but this latest move allows for it to be done electronically as long as affected employees have reasonable access to it. It no longer needs to be on the office notice board or in the canteen,” he said.

“The worry is, however, that ‘out of sight’ might lead to ‘out of mind’ and it’s crucial, of course, that businesses continue to hold valid and adequate insurance.

“There is no longer any legal need to hang on to out-of-date certificates, but employers are still strongly advised to keep detailed records.

“The nature of industrial diseases means that certain conditions only come to light many years after a person was exposed to their cause.  Current or former employees could still make a claim against a company, so good record-keeping remains essential.”

BiB can offer advice and quotations on a wide range of Employers Liability and other insurance policies.  If you would like to speak to a BiB representative, contact us here at Spiral.