Employers Liability Compulsory Insurance

EDM number 1304 in 2003-04, proposed by Brian Cotter on 27/05/2004.

That this House notes with concern the latest survey from the Federation of Small Businesses on Employers' Liability Compulsory Insurance (ELCI), which finds that more than one in four small businesses are still finding it difficult, or impossible to secure the compulsory cover; recognises that despite Government and industry actions to resolve the insurance crisis, 14 per cent. of respondents reported an increase of over 100 per cent. in their premiums since last year; further notes that 51 per cent. of businesses have been given less than two weeks' notice to renew ELCI, despite industry guidelines that at least three weeks' notice must be given by insurers; realises that this makes it impossible to shop around for alternative and affordable quotes and that the difficulties many small businesses are facing in securing affordable employer's liability insurance are far from over; and therefore calls upon the Government to ensure that the agreed minimum notice period for renewal is adhered to by insurers and to introduce statutory requirements if necessary, and to implement swiftly, and in full, recommendations from the Department of Work and Pensions' report on tackling the insurance crisis and to make employers' liability insurance more attractive for insurers in the long term, in order to increase the number of underwriters and boost competition in the market.

This motion has been signed by a total of 43 MPs.