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Can My Employer Afford To pay?

“How much will I get?” is not the first question I am asked by my clients after I’ve advised them that I think they have a good personal injury claim against their employer. This question is way down most clients’ list of questions. But a question that I am often asked is along the lines of “Will my claim cripple my employer?” or “Will my employer go bust if I claim?”

Even though it is their employer’s fault that they have been injured, the majority of clients still feel a sense of loyalty to their employer and are reluctant to do anything that could cause their employer financial problems. This is often re-enforced by comments made to them by their employer that they couldn’t afford to pay out on a claim or that it would lead to people having to be laid off. Believe it or not, this type of emotional blackmail is still used, especially where the employer is a small company. 

But clients need not worry. All employers in the U.K. must have insurance in place which covers them for at least £5 million in relation to accident claims made by their employees. In fact, most employers have much more cover in place. So it’s the insurance company that pays, not the employer.

Clients are relieved to hear this. They can press on with their claim knowing that it isn’t going to cause their employer financial difficulties.