Business Insurance

Below is a guide to the forms of insurance that you are legally required to have in place for your business.

Employers’ Liability insurance

Under the Employers’ Liability Act 1969, all businesses within the UK that have one or more employees are required by law to have an active Employers’ Liability Insurance policy in place.

Employers’ Liability Insurance covers your business in the event of an employee claiming compensation from you in the event that they are injured, become unwell or diseased as a result of their work.

You could be fined up to £2,500 per day by the Health and Safety Executive for not having a valid Employers’ Liability Insurance policy in place. In some extreme cases, it can even lead to the closure of your store.

However, if you only employ a member of your close family in your store and are not incorporated as a limited company then your business is exempt.

Motor Insurance

If you or your employees are using a vehicle for business related activities, then legally you are required to have business specific motor insurance for the vehicle. Business motor insurance must cover all individuals who drive the vehicle.

Business related activities can include such things as home deliveries for customers or stock collection from a wholesaler.

Further Information

ACS Connect supplier members, Jelf and Bluefin, both offer small business insurance. For more information about the insurance these companies offer, visit:; or