Does an employer need to have Employer' Liability Compulsory Insurance (ELCI) in place before they employ a young person?

13 February 2014

Most employers are required by law to insure against liability for injury or disease to their employees. Those who are currently exempt include:

• family businesses, where all employees are closely related to the employer, unless the business is incorporated as a limited company

• sole traders

However, if a family business takes on an employee who is not closely related to the employer, or if a sole trader takes on an employee, then there is a requirement for them to have ELCI.

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