Employer Liability Insurance is mandatory under both the Insurance and the Workmen’s Compensation Acts, which provides indemnity in respect of an employer’s legal liability to the employees for occupational injury or death in the course of their employment.
Mr. Faris Attrickie, General Manager in Charge of Technical Operations, SIC Insurance Company PLS said the Workmen’s Compensation Act made it compulsory for employers of labour to set aside funds to compensate any worker who may sustain an injury at the workplace whether or not the Employer is to blame.He said, “Every employer with employees over 15 must-have Employers Liability cover insofar as the employee is in the purview of work and suffers injury or death, they must be appropriately compensated”.
Speaking at the Tema Office of the Ghana News Agency Tema Industrial News Hub Boardroom Dialogue Platform which is an initiative created for state and non-state actors to address national issues, Mr. Attrickie said the Public Liability Insurance compliance level in the country was not good which was monitored by the Communication for Development and Advocacy Consult (CDA Consult) in Tema.He revealed that given the weak compliance level some public entities do not have insurance for their workers, and called on employers to adhere to the Insurance Act.
The monthly engagement also serves as a motivational mechanism to recognize the editorial contribution of reporters toward national development in general and the growth and promotion of the Tema GNA as the industrial news hub.
He said it is compulsory for employers with 15 or more employees to insure their liability which indemnifies an employer against legal liability for injuries to employees resulting from accidents occurring in the course of their employment.The SIC General Manager in Charge of Technical Operations advocated for strict compliance with regards to property insurance and the patronage of the Workmen’s Compensation Insurance or Employers Liability, which was non-negotiable as the cost implications for employers were often severe.
He said the National Insurance Commission, which is the regulator of insurance practice in Ghana in collaboration with the Ghana National Fire Service and the Ghana Police Service was mandated as the task force to ensure the enforcement of the Act.“Unfortunately, their work has not been far reaching even though some taskforce had visited a few premises without insurance and caused their closure for non-compliance, but with the coming into force of the new Act, the taskforce would be reconstituted to strictly enforce the law,” he explained.
He said the definition of a worker under the Act has been expanded to include any person who receives salary or wages except an outworker, a tributary, and a family member of the employer living with the latter or where the Law prohibits as a worker.Besides compensation for bodily injury, there is a provision for payment of Medical Expenses as a result of the injury. An employer may also choose to insure his liability under the Act and in addition, can extend his liability to cover claims under Common Law.