What type of insurance protects an employer from damages due to negligence?

Employers liability insurance is specifically designed to protect employers from claims made by employees for negligence that leads to injuries or illnesses sustained in the workplace. This type of insurance covers legal fees, settlements, and other costs associated with defending against such claims. It is essential for employers to have this coverage, as it provides financial protection in case an employee suffers harm and alleges that the employer's negligence was a contributing factor.

While health insurance is vital for employee welfare, it does not provide protection against negligence claims. Liability insurance, while similar, typically encompasses a broader range of scenarios outside of the employer-employee relationship. Workers' compensation insurance covers medical expenses and lost wages resulting from work-related injuries but does not extend to claims of negligence, focusing instead on no-fault coverage for employees. Thus, employers liability insurance is the most appropriate choice for addressing negligence-related damages specifically.