How much is employers' liability insurance?
How much does employers' liability insurance cost?
The cost of employers’ liability insurance varies as it depends on several factors that are different for every business or individual.
We’ll run through what changes the cost of employers’ liability insurance and why you might legally need it.
What is employers’ liability insurance?
A legal requirement for most businesses with their own staff, employers’ liability insurance is designed to provide financial support in case one of your employees is injured or their property is damaged at work.
If you’re looking for more information about this type of cover, we have guides on what employers’ liability insurance is and whether you need employers’ liability insurance.
If you have staff – whether part-time, full-time, permanent, temporary or apprentices — you may have a legal obligation to have this insurance so you’ll want to make sure you’ve got the right cover at the best price for you.
Be quote confident. We'll beat the price of any like-for-like quote. T&Cs apply.
How do I find out the cost of employers’ liability insurance?
Every insurer offers different prices for its cover. The cost will depend on several factors (which we’ve detailed below), so it’s hard to put an exact price on it.
To find out the cost of employers’ liability with Superscript, press ‘Start a quote’ to kick things off. Building a quote only takes a few minutes, and it’ll be based on your business needs, and therefore unique to you.
What factors does the price of employers’ liability insurance rely on?
When building a quote, the insurer will ask a bunch of questions to determine the risk level of your business and the level of cover you need. These include:
- The type of work you do
- How many employees you have
- Your business turnover
Businesses with a higher risk level usually have to pay higher premiums. Most insurers will offer £10 million of employers’ liability cover as standard.
Insurance companies base the price of cover on the probability that you’ll make a claim, as well as how much that claim could cost. Therefore, it can help to identify the risks you could potentially face, so you can see how that would affect your business and the cost of your employers’ liability insurance.
If, for example you run a nail salon, some of the risks that could be covered under employers’ liability cover could include:
- An employee develops a bad back from the chair they sit on to do their work
- An employee suffers from overexposure to chemicals due to a lack of ventilation
- An employee develops an infection from a client, despite the efforts you've gone through to protect your staff
- An employee trips on some loose carpet, breaking their arm
Even if you’re not required to have employers’ liability insurance, the cost of covering legal fees and compensation can put pressure on a business's bottom line. According to 2025 data from the Trades Union Congress, most compensation claims settle out of court, with typical payouts under £5,000. Though a few can reach into the millions when lifelong care is needed.
Therefore, it’s important to assess the risks your employees face when working for your business.
The cost of operating without employers’ liability insurance
When it comes to employers’ liability, another consideration is the possibility of penalties if you are found to be operating without cover when you should have it.
The Health and Safety Executive (HSE) could fine you up to £2,500 for every day that you didn’t have employers’ liability insurance, but were legally required to.
You must display your employers’ liability certificate either somewhere in your business premises or digitally, so both the HSE and employees can see it if requested. You can be fined £1,000 if your certificate isn’t displayed or accessible digitally.
Why cheap employers’ liability insurance may cost your business
You might think that cheaper cover makes more business sense, but what if a claim is made against you that wasn’t covered?
Comprehensive cover may be more expensive, but when considering how much you’d have to pay if a claim wasn’t covered, it makes sense to opt for the cover that will protect you in the ways you need.
Employers’ liability isn’t the only cover that you should consider. While employers’ liability insurance is the only cover that’s usually legally required, there are other covers, like public liability and professional indemnity, that you may want to consider depending on the work you do.
Once you've completed a quote, you'll be able to view a summary of cover. Please always refer to your policy documents for full details around exclusions, terms and limits of your customised cover. Read our guide to understanding your policy documents.
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Our insurance guides answer more of your employers' liability questions.