Certificate of Insurance

Employment Insurance

The Underwriters agree to indemnify the Insured in consideration of the premium paid or to be paid subject to the terms, conditions and exclusions of this Certificate.

DEFINITIONS  

Adviser   the lawyer or other expert appointed b y Amicus acting for the Insured under this insurance.
   
Adviser’s Costs reasonable legal fees up to the hourly rate shown in the Amicus fee scale ruling at the time the Adviser is instructed and disbursements essential to the Insured’s case.   Legal costs shall be assessed on the standard basis and third party’s costs shall be covered if ordered against the Insured and paid on the standard basis of assessment.
   
Amicus Amicus Legal Ltd.
   
Amicus Legal Advisory Service the service provided by Amicus Legal Ltd enabling the Insured to obtain legal advice on any matter which may give rise to a claim under this insurance.
   
Award of Compensation the award of compensation which the Insured must pay following a decision by an Employment Tribunal, or Employment Appeal Tribunal.   It does not include awards made under sections 117 and 125 of the Employment Rights Act 1996 as amended, redundancy payments or any payment due under the contract of employment.  
   
Award of Pay awards under section 93 of the Employment Rights Act 1996.   It does not include awards made for unreasonably failing to supply the written statement.
   
Computer any computer or other electronic data processing device, equipment or system or any hardware, software, programme, instructions, data or component utilised in or by such item, or any actual or intended function of or process performed by any of them.
   
Commencement Date the start of the first Insured Period.
   
Dismissal as defined in sections 95 and 96 of the Employment Rights Act 1996.
   
Employee a person employed by the Insured under a contract of service.
   
Enforcement Notice an improvement notice or a prohibition notice within the meaning of sections 21 and 22 of the Health and Safety at Work etc. Act 1974.
   
Insured the organisation named in the schedule.
   
Insured Incident the incident or the first of a series of incidents which may lead to a claim under this insurance.   Only one Insured Incident shall be deemed to have arisen from all causes of action, incidents or events that are related by cause or time.
   
Insured Period the period shown in the schedule.
   
Limit of Indemnity the maximum sum payable in respect of an Insured Incident.
   
Limit of Indemnity in Aggregate the maximum sum payable under this insurance in any one Insured Period.
   
Proceedings the pursuit or defence of civil, tribunal or arbitration proceedings or appeals arising from them and the defence of criminal proceedings.
   
Schedule the schedule to which this Certificate attaches.
   
Territorial Limits United Kingdom, Channel Islands and the Isle of Man.
   
Underwriters Professional Risks Insurance Limited.

    

COVER

THIS INSURANCE COVERS Adviser’s Costs up to the Limit of Indemnity cover.

The sections set out below arising from Insured Incidents occurring in the Territorial Limits and during the Insured Period in respect of Proceedings brought within the Territorial Limits.  


Limit of Indemnity

Under sections 1, 2 & 3 the maximum sum payable in respect of any one Insured Incident is £250,000.

Under section 4 the maximum sum payable is £100 per Employee per day subject to a maximum of £5,000 per claim.  

The Limit of Indemnity in Aggregate is £1,000,000.

SECTION 1

The Insured is covered for Adviser’s Costs to defend Proceedings brought in an Employment Tribunal by an Employee or former Employee alleging a breach of his or her contract of employment or a breach of his or her statutory rights as an Employee including payment of Awards of Compensation and Awards of Pay.  

SECTION 2

The Insured is covered for Adviser’s Costs to pursue an Employee or former Employee for breach of a restrictive covenant contained in the Employee’s contract of service and which has been approved in writing beforehand by Amicus.  

SECTION 3 – Health and Safety

The Insured is covered to appeal against an Enforcement Notice served on it.  

SECTION 4 – Attendance Expenses

The Insured is covered for Employees’ salary in respect of time away from work attending a court or tribunal to give evidence at the request of the Adviser in respect of a claim supported by this insurance.  

Each full or half day’s attendance will be calculated as follows:-

a) The period of absence will include travelling to and from the hearing.
b) The period of absence will be calculated to the nearest half day where eight hours is one day.
c) For full-time Employees, one day’s pay is equal to 1/250th of their annual pay at the time of attendance.
d) For part-time Employees pay for the period of absence will be the same proportion of the weekly pay as the period of absence is of their normal working week.

 

EXCLUSIONS APPLYING TO SECTION 1

There is no cover:-

a) Where the Insured Incident occurred within 30 days of the Commencement Date or within 180 days if the Employee in question was at that time subject to disciplinary proceedings or any verbal or written warning.   This exclusion shall not apply if the Insured had alternative legal expenses insurance covering Adviser’s Costs and Awards of Compensation immediately prior to the Commencement Date of this insurance.  

b)

 

c)

For a claim arising from the Dismissal of an Employee unless the Dismissal was previously authorised by and handled in accordance with the advice of the Amicus Legal Advisory Service.  

For a claim arising from a substantial alteration to an Employee's service and conditions of employment unless the alteration was previously agreed by Amicus.

d) For a claim for equal pay.
e) For a claim arising from the Insured’s avoidance of liability for a redundancy payment without the consent of the Amicus Legal Advisory Service, or for monies or benefits due under a contract of service.  

 

EXCLUSIONS

1.          There is no cover where:-

a) The Insured Incident began to occur or had occurred before the Insured purchased this insurance.  
b) The Insured should reasonably have realised when purchasing this insurance that a claim under this insurance might occur.  
c) The Insured fails to give proper instructions to Amicus or to the Adviser.
d) The Insured’s act or omission prejudices the Insured’s or the Underwriters' position in connection with the Proceedings.
e) The Insured has alternative legal expenses cover.  

 

2.          There is no cover for any claim arising from:-

a) Patents, copyrights, trademarks, merchandise marks, service marks, registered designs, intellectual or artistic property, secrecy, or confidentiality agreements and passing off.
b) Computer software other than proprietary packaged software that has not been tailored to the Insured’s requirements.
c) Works undertaken or to be undertaken by or under the order of any government or public or local authority.
d) Planning law.
e) The construction of or structural alteration to buildings.
f) Defamation or malicious falsehood.
g) A lease or licence to occupy property or land.
h) Any consequence of any failure of the Computer (by whomsoever owned or operated) to recognise or respond to correctly and effectively any particular date or period time (continuous or otherwise).


3.          There is no cover:-

a) For Adviser’s Costs incurred in avoidable correspondence or which are recoverable from a court, tribunal or other party.  
b) For fines or costs awarded in criminal courts or for damages or interest.
c) For any sum due under a contract of service.
d) For claims made by or against the Underwriters or Amicus.
e) For judicial review.

f)

g)

For an appeal without the prior consent of Amicus.

For legal fees or disbursements other than those incurred by a legal adviser appointed by Amicus.


4. Contracts (Rights of Third Parties) Act 1999

A person who is not a party to this contract has no right under the Contracts (Rights of Third Parties) Act 1999 to enforce any term of this contract but this does not affect any Right or remedy of a third party which exists or is available other than by virtue of this Act.


CONDITIONS

1.      The Insured must:

a) Agree to act in accordance with the terms of this insurance and accept that if the Insured fails to do so Underwriters may refuse to accept or continue to support a claim.
b) Notify claims as soon as reasonably possible within 180 days of the Insured Incident and complete the claim form.   This must be returned promptly.
c) The Insured must supply at this own expenses all of the information which Amicus reasonably requires to decide whether a claim may be accepted.


2.      Choice of adviser

A) Amicus will appoint an Adviser to act on the Insured's behalf.
B) The Adviser will:-
i) Provide a detailed assessment of the Insured’s prospects of success including the prospects of enforcing any judgment obtained.
ii) Keep Amicus fully informed of developments and provide such information as Amicus may require.
iii) Keep Amicus regularly informed of Adviser’s Costs incurred.
iv) Advise Amicus of any offers to settle or payments into court.   If contrary to Amicus’s advice such offers or payments are not accepted there shall be no further cover for Adviser’s Costs unless Amicus agrees in its absolute discretion to allow the case to proceed.
v) Submit bills for assessment or certification by the appropriate body if requested by Amicus.
vi) Attempt recovery of costs from third parties.  
C. In the event of a dispute arising as to Adviser’s Costs Amicus may require the Insured to change Adviser.
D. Underwriters shall only   be liable for costs for work expressly authorised by Amicus in writing and undertaken while there are reasonable prospects of success.
E. The Insured shall supply all information requested by Amicus including information which is legally privileged.  
F. The Insured is liable for any Adviser’s Costs if it withdraws from the Proceedings without Amicus’s prior consent.   Any costs already paid by Amicus will be reimbursed by the Insured.

3.             Disputes

Any dispute between the Insured and Amicus shall be referred to an arbitrator who shall be either a solicitor or a barrister.   If the parties cannot agree on their choice of arbitrator the Law Society may be asked to make a nomination.   The arbitration shall be binding and carried out in accordance with the Arbitration Act.   The costs of the arbitration shall be at the discretion of the arbitrator.  


4.             Reasonable prospects            

At any time Amicus, on behalf of the Underwriters, may form the view that the Insured does not have a reasonable prospect of success in the action it is proposing to take or is taking.   If so, Amicus may decline support or any further support.   In forming this view Amicus may take into account:-

a) The amount of money at stake.
b) The fact that a reasonable person without legal expenses insurance would not wish to pursue the matter.
c) The prospects of being able to enforce a judgment.
d) The fact the Insured’s interests could be better achieved in another way.  

5.             Cancellation

The Insured may cancel this insurance by giving fourteen days’ written notice to Amicus.   Amicus may cancel the insurance by giving fourteen days written notice to the Insured at the address shown in the schedule.   No refund of premium shall be made.  


6.             English law

This contract is governed by English law.  


ENQUIRIES OR COMPLAINTS

If you are unhappy with any aspect of our service please contact the Claims Director, Amicus Legal Ltd, Two St. John’s Street, Colchester, CO2 7AA, telephone 01206-366500.   We will do our utmost to resolve the problem.  

If you remain dissatisfied you may then approach the Insurance Ombudsman, City Gate One, 135 Park Street, London. SE1 9EA.

Amicus Leagal Ltd is a member of the General Insurance Standards Council.