Although traditional home insurance provides cover for the informal employment of domestic employees such as cleaners and gardeners, it is inadequate for anyone receiving payment from the NHS or a local authority to employ carers or personal assistants for homecare needs.
Individuals receiving such support require commercial insurance due to their status as an employer, in a personal capacity, which subjects them to the Employers’ Liability (Compulsory Insurance) Act 1969, and therefore, the need for different insurance requirements.
The new partnership between Arc Legal Group, part of the AmTrust Financial Group and HB Underwriting aims to address this with a niche insurance offering that combines Arc Legal’s Employment Defence cover as an optional add on with their core Employer’s Liability policy.
This provides cover to defend individuals when an employed carer brings proceedings against them in an employment tribunal, including any awards of compensations made.
It also gives policyholders access to Arc Legal’s in-house 365, 24/7 Legal Assistance Helpline for employment-related matters, along with its employment guide.
Martin Johnson, Arc Legal’s Head of Partnerships, said: “We are pleased to partner with HB Underwriting, whose innovation and niche underwriting expertise is a great match for our commitment to delivering high quality, bespoke products and excellent customer service. This deal complements our increasing market share in Commercial Legal Expenses Insurance, across both SME and niche businesses.”
Kyle Lomas, Managing Director at HB Underwriting, added: “As a specialist MGA that is dedicated to creating products for customers that are underserved in the marketplace, we are excited to enhance our customer offering by providing online access to Arc Legal’s templates and documents and its Legal Assistance Helpline. This will offer expert support to our customers in meeting their legal obligations as an employer and offering legal defence should something go wrong.”
