ABI raises concerns over ELIB proposals

10/02/2010

The Association of British Insurers (ABI) has raised concerns over government plans to establish an Employers' Liability Insurance Bureau (ELIB), which may affect those seeking pursuing injury compensation claims in the UK.

ABI says that it recognises the importance of workers with work-related illnesses or injuries being able to trace their employer or their insurers to claim injury compensation.

However, the organisation said it is opposed in principle to the ELIB, which would oblige law-abiding employers to pay for "potentially uninsured" competitors or for firms that no longer exist.

"Such a fund could also encourage some employers not to bother with insurance, or to take the health and safety of their employees less seriously, knowing that a fund of last resort would pay out," added Nick Starling, director of general insurance and health at ABI.

The organisation recently described the judgement by the Court of Session in Edinburgh to compensate people with pleural plaques as "disappointing", claiming that there is no medical evidence that the condition is harmful.

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