Employers’ Liability Database – Employer Reference Number Required
02 August 2012
When someone develops an industrial disease such as mesothelioma, an asbestos-related cancer of the lining of the lungs that has an unusually long gestation period, it is often difficult to trace the company that provided insurance cover to the employer responsible for the worker’s exposure to asbestos.
In order to prevent this problem in future, in 2010 the Employers’ Liability Tracing Office (ELTO) was established. The ELTO maintains an electronic database of information to help trace Employers’ Liability Insurance (ELI) policies.
On 1 April 2012, a new rule was introduced making it compulsory for all employers to notify their insurance provider of their unique employer reference number (ERN) when they renew their ELI policy or take out new cover. The ERN is the employer’s PAYE reference used by HM Revenue and Customs and can be found on many documents, including forms P45, P60 and P11D and the Employer Payment Booklet. Whilst rare, some employers possess more than one ERN, such as those operating separate PAYE schemes for different business locations, expatriates or company directors. Insurers are required to capture all ERNs for all employers covered by the policy.
Guidance on the requirement can be found at http://www.elto.org.uk/Documents/ELTO_BIBA_Broker_Guide_1011.pdf
For more information on this subject or any other legal matter,
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