Here are some of the reasons why all employers should buy a workmen compensation or labour insurance policy:

• To pay the compensation that the insured employer is legally liable to pay his employees and their dependents due to the death or personal injury caused by accidents or diseases contracted due to the work and during the course of the employment.
• To fulfil the insured employer's liability arising either under the common law or under the laws mentioned in the Workmen Compensation Act, 1923.
• To cover the costs or expenses incurred by the insured employer with the consent of the insurance company to defend any additional claims.