The insurance a UK company has to have
Employers' liability cover of £5 million is a legal requirement from the first UK employee. The rest depends on what the company does and who it contracts with. We set out what is required and what the contracts demand, and introduce a broker.
The cover a UK company must carry by law and by contract
Employers' liability cover of £5m is compulsory by statute from the first UK employee. Everything else becomes compulsory the moment a customer's contract requires it, and the order those two things usually happen in is signature first, cover afterwards.
What you get
- Employers' liability requirement confirmed
- Contract insurance clauses reviewed
- Sector requirements identified
- Broker introduction
- Certificate held on the company file
- Renewal dates diarised
What we do
The legal requirement confirmed
Employers' liability cover of at least £5 million from an authorised insurer, from the first UK employee. The often missed item on a set-up list.
Contract insurance clauses read
UK customers, landlords and public buyers specify minimum cover as a condition. We read that clause when we review the contract, not after you have signed it.
Sector expectations identified
Professional indemnity, product liability, cyber and directors' and officers' cover, depending on what the company does.
The group policy tested
Global programmes often exclude locally required cover, and employers' liability must be with an authorised insurer for Great Britain. Checked rather than assumed.
A broker introduced
Insurance broking is regulated and Buzz is not authorised. A UK commercial broker arranges the cover; we tell them what is needed.
Certificates held, renewals diarised
So cover does not quietly lapse between a broker in one country and a manager in another.
One UK business insurance is compulsory by statute. The rest is compulsory by contract, which in practice means the same thing once a customer has sent you their terms.
What the law requires
Employers' liability insurance of at least £5 million, from an authorised insurer, from the day you employ anyone in Great Britain. The certificate must be available to employees. Going without carries a daily penalty, which is the most commonly missed item on a new subsidiary's set-up list because it falls between the accountant, the lawyer and head office.
Motor insurance where the company uses vehicles, on the same compulsory basis as anywhere else.
What contracts require
This is the part set by contract rather than by statute. UK customers, landlords and public-sector buyers often specify minimum cover as a condition of the contract, commonly public liability and professional indemnity at named limits, and sometimes cyber cover. Signing first and insuring afterwards means either a breach from day one or a scramble. We read the insurance clause when we review the contract and tell you what it commits you to before you sign it.
What the sector expects
Professional indemnity for anyone giving advice or delivering a professional service. Product liability where you sell goods. Cyber where you hold customer data, which is most technology businesses and increasingly a procurement requirement rather than a nicety. Directors' and officers' cover, which matters more in the UK than groups expect, because UK directors carry personal duties and personal exposure.
Where our work stops
Buzz is not an insurance broker and is not authorised by the Financial Conduct Authority. Arranging or advising on insurance is a regulated activity and we do not do it. What we do is establish what the company is legally required to carry, read the insurance obligations in the contracts it is about to sign, identify what its sector expects, and introduce you to a UK commercial broker who arranges the cover. We then hold the certificates on the company file and diarise the renewals, so the cover does not quietly lapse between a broker in one country and a manager in another.
What we need from you
- What the UK company will do, and whether it sells goods or advice
- How many people it will employ, and from when
- The customer or landlord contracts it expects to sign
- Any cover the group already holds that might extend to the UK entity
Common questions
Does our group policy cover the UK subsidiary?
Sometimes, partly. Global programmes often exclude locally required cover, and employers' liability specifically must be with an authorised insurer for Great Britain. Check it rather than assume it, and get the answer in writing before the first employee starts.
Do you arrange the insurance?
No. Insurance broking is a regulated activity and Buzz is not authorised. We establish what is required and introduce a broker who arranges it, then hold the certificates and diarise the renewals.
What happens if we hire before the insurance is in place?
It is an offence with a daily penalty, and the certificate must be available to employees. It is also the first thing a diligence process asks for. Get it in place before the start date, not the first payday.
Is directors' and officers' cover worth it?
UK directors carry personal statutory duties and personal exposure for things like wrongful trading and filing failures. Your broker will price it; we will explain what it is protecting against.
Related services
Setting up a UK subsidiary
QuotedIncorporation and the registrations that follow
Incorporation, the ownership register, identity verification for each director, then corporation tax, PAYE and VAT registrations. One fee, everything a new UK company must have.
Registering a UK branch (a UK establishment)
QuotedA UK branch of the existing company, registered at Companies House
Registration within the one-month deadline, the parent's constitution and accounts filed, the branch registered for corporation tax, VAT and PAYE, and the annual filings kept up.
HMRC registrations for a new UK company
QuotedCorporation tax, PAYE, VAT and the other HMRC registrations
Every registration the company needs, applied for in the right order and at the right time, with the references held on file rather than lost in the post.
Get a fixed quote
Tell us where the parent company is and what the UK operation has to do.
