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A Government plan to change the law regarding the retention of liability insurance records has sparked fears that workers will be left unable to make a personal injury compensation claim if they develop work related illnesses, such as asbestos cancer, years after their employer has gone out of business.
But MPs are being urged to sign a parliamentary petition to resist the change, thus ensuring that companies continue to keep their records for the prescribed 40 years.
MP for North West Leicestershire, David Taylor, submitted the early day motion that MPs are being encouraged to sign.
He said, "I am concerned that victims of industrial diseases, like mesothelioma, will not receive compensation via employers' liability compulsory insurance policies.
"Where employers are liable for the illnesses of their employees, they must keep in place appropriate insurance to provide full compensation – anything less is utterly unacceptable."
The Association of British Insurers upholds a voluntary code which urges employers to retain insurance records for 60 years and the Government believe this should be enough to protect workers.
However, unscrupulous employers can merely choose not to co-operate with the code.
Mr Taylor has called for a central electronic database to be set up that would record all employers' liability insurance policies on a mandatory basis. This would enable personal injury compensation claims to be brought effectively against an employer or his insurer.
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