A change of tactics

Employers' liability insurance is good value for customers, argues Malcolm Smith, but extremely challenging for the market. What can be done to stop the deteriorating returns and move back to profitability?

Malcolm Smith, Commercial manager, Groupma Insurance

There is no need for a pocket calculator to work out the implications behind a class of business that can produce a £4m claim following a fall from scaffolding, on a policy where premiums are often no more than £100 per capita. Nor the long-tail consequence of claims - such as for industrial disease or illness - that only come to light after several decades have passed.

While employers' liability remains good value for money for customers, it