Small firms could be hit with higher liability insurance premiums, it has been claimed, after the introduction of a new rule allowing the NHS to recover costs for treatment of workplace injuries.
The new legislation, brought in this week, means that the NHS can recover treatment costs of hospitalised employees in cases where workers are awarded compensation for their workplace injury.
Steve Foulsham, technical services officer for the British Insurance Brokers’ Association (Biba) said it was ‘early days’, but the long term effect of the new rules could have ‘an impact on employers’ liability rates’.
Foulsham advised small businesses to talk to their brokers about health and safety matters to ensure they have safe a working environment for their employees.
“Make sure you address the risks as far as possible,” said Foulsham. “But of course accidents do happen – robust health and safety policy or not.”
The Federation of Small Businesses (FSB) has called on the insurance industry to work with small businesses to keep premiums down.
“We are not here to defend businesses whose negligence causes accidents in the workplace,” said Mary Boughton, FSB health and safety chairman.
“But the vast majority of small businesses are conscientious employers and don’t deserve to be set back by higher insurance premiums.”
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