The Employers' Liability (Compulsory Insurance) General (Amendment) Regulations 1994

Statutory Instruments

1994 No. 3301

INSURANCE

The Employers' Liability (Compulsory Insurance) General (Amendment) Regulations 1994

Made

21st December 1994

Laid before Parliament

22nd December 1994

Coming into force

1st January 1995

The Secretary of State, in exercise of his powers under sections 1(2) and 6 of the Employers' Liability (Compulsory Insurance) Act 1969(1) and of all other powers enabling him in that behalf, hereby makes the following Regulations:

Citation and commencement

1.  These Regulations may be cited as the Employers' Liability (Compulsory Insurance) General (Amendment) Regulations 1994 and shall come into force on 1st January 1995.

Amendment of the Employers' Liability (Compulsory Insurance) General Regulations 1971

2.  For regulation 3 of the Employers' Liability (Compulsory Insurance) General Regulations 1971(2), there shall be substituted the following regulation:

“Limit of amount of compulsory insurance

3.— (1) Subject to paragraph (2) below, the amount for which an employer is required by the Act to insure and maintain insurance shall be two million pounds in respect of claims relating to any one or more of his employees arising out of any one occurrence.

(2) In the case of a company with subsidiaries, it and its subsidiaries shall be deemed to have satisfied the requirement in respect of the limit of the amount of compulsory insurance prescribed in paragraph (1) above, if it insures and maintains insurance (where required) for itself and on behalf of its subsidiaries for the amount mentioned in that paragraph in respect of claims relating to any one or more of its own employees and to any one or more employees of its subsidiaries arising out of any one occurrence.In this paragraph, the expressions “company”and “subsidiaries” have the same meaning as in section 736 of the Companies Act 1985(3).”

Signed by order of the Secretary of State.

Phillip Oppenheim

Parliamentary Under Secretary of State,

Department of Employment.

21st December 1994

Explanatory Note

(This note is not part of the Regulations)

These Regulations amend the Employers' Liability (Compulsory Insurance) General Regulations 1971 (S. I.1971/1117) (“the 1971 Regulations”). The 1971 Regulations, as amended by the Employers' Liability (Compulsory Insurance) (Amendment) Regulations 1975 (S. I.1975/194), were applied to employers of persons working on or from offshore installations or associated structures in connection with those installations in designated areas of the Continental Shelf and the territorial waters adjacent to Great Britain by the Employers' Liability (Compulsory Insurance) (Offshore Installations) Regulations 1975 (S. I.1975/1443). The Employers' Liability (Compulsory Insurance) Act 1969 (c. 57) was applied to those employers by the Offshore Installations (Application of the Employers' Liability (Compulsory Insurance) Act 1969) Regulations 1975 (S. I. 1975/1289).

The effect of the amendment is that in the case of a company and its subsidiaries the existing requirement to insure and to maintain insurance for two million pounds by each of them prescribed in regulation 3 of the 1971 Regulations will be deemed to have been satisfied if the company insures and maintains insurance (where required) for itself and on behalf of its subsidiaries for that amount in respect of claims relating to any one or more of its own employees and to any one or more employees of its subsidiaries arising out of any one occurrence.

(1)

1969 c. 57, as extended by the Offshore Installations (Application of the Employers' Liability (Compulsory Insurance) Act 1969, Regulations 1975 (S.I.1975/1289).

(2)

S.I.1971/1117, as extended by regulation 2 of the Employers' Liability (Compulsory Insurance) (Offshore Installations) Regulations 1975 (S.I.1975/1443).

(3)

1985 c. 6.