In the maritime industry, there are a variety of risks. As an employer, you are responsible for your employees become injured or ill while on the job. Where workers’ compensation isn’t enough, you may need maritime employers liability. Maritime employers liability coverage is not a requirement, but it is a coverage that you should consider for your employees. Here is what you need to know about MEL.
What MEL Covers
When it comes to maritime liability, the policies cover a variety of different operations. For example, if you work in the construction, drilling, or scientific industry, there are specifically designed policies for your workers.
Who MEL Covers
Marine employers liability coverage is for any employee who works on another vessel. It doesn’t matter whether the employee works on a small rig or barge; your employee requires insurance if he or she is on another vessel. Often, the employee is not covered under the owner’s insurance. MEL can protect your employees on another ship or employees on your ship.
If you do not have MEL coverage, the legal fees and potential award amount can be devastating for your business. Your company could be held liable for legal fees and judicial damages. To protect your employees, you need to understand the exposures they face on the job and the types of insurance coverage you should obtain.