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16 July 2008

Legislation requiring companies to retain their insurance policy records for 40 years should not be abolished, according to one organisation.

The Association of Personal Injury Lawyers claims that the rule is "vital" to those employees who have contracted diseases from their work, such as asbestos-related illnesses.

However, the government is considering abandoning the requirement, stating it is too difficult to enforce and poses a significant burden for businesses.

Opposing the move, Amanda Stevens, president of the association, said in order to make such a personal injury claim, a worker is required to locate their employer's insurer to obtain compensation.

"Removing the regulation which obligates employers to retain their insurance policies really weakens an already creaking system of protection for workers," Ms Stevens commented.

Instead of relaxing the rules, the government ought to make the system "stronger" by creating a workplace insurance policy database.

Earlier this month, the Observer reported that the government has launched a consultation into a recent decision by the House of Lords stipulating that insurance companies are not obliged to pay out compensation for pleural plaques – a condition brought on by exposure to asbestos.

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