Question 1

What is Liability Insurance?

Accepted Answer

Despite the best efforts of both employers and employees, workplace injuries happen. When they do, employees and employers who have coverage can turn to WSIB for support in navigating claims and providing workers' compensation. However, not all claims will be accepted by WSIB, and some businesses may not have opted into WSIB coverage. Employees have the right to sue employers when they are injured on the job. Forgoing liability coverage could leave employers in a difficult situation.

Question 2

Do All Employers Need Liability Insurance?

Accepted Answer

Liability insurance helps employers protect their business in the event of an employee suing them for a workplace-related injury. Just like having insurance for other aspects of your business, having insurance to protect your employees and business is a good idea. Even employers who have WSIB coverage may wish to consider having additional liability insurance as this can help protect them against claims that are not covered by WSIB.

Question 3

Which Industries Require WSIB Coverage?

Accepted Answer

In Ontario, most employers are required to have WSIB coverage. Though there are exceptions to this requirement, even those who are not mandated may wish to consider obtaining WSIB coverage or other liability insurance. Construction businesses are required to have coverage for both employees and employers, while other industries can choose whether or not to have employer coverage. Consider speaking with a labour lawyer to help you understand what is required for your industry.

Question 4

Is Employers' Liability Insurance the Same as Workers Compensation?

Accepted Answer

In Ontario, many employers and employees consider compensation provided by WSIB to be “workers' compensation.” Employers’ liability insurance may also be referred to as workers comp or workers compensation, though it can involve a different process than a WSIB claim. As workplace injuries related to an employee’s role and other injuries, such as slips while at work, can happen to anyone, it is a smart idea for employers to have at least one form of liability insurance to provide compensation to employees when necessary.

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