Tysers, UK Division :: Insurance & Risk Management Services

Special classes of insurance can be difficult to understand. We believe that reading through examples of claims and loss situations helps to explain the types of risks our policies aim to protect against and the scenarios that businesses and professional practices, large and small, might encounter.

Facts:	Claim
The Claimant was employed by the insured for some 10 years. During recent times, she was subjected to sexual harassment by her employers in the form of the use of sexually explicit language or comments with a sexual innuendo. She complained to the HR director. No substantive action was taken against the offenders. Her employment was then terminated by the insured under the guise of a redundancy. She alleged it was clearly a dismissal and was clearly unfair. She issued proceedings in the Employment Tribunal seeking an award for unfair dismissal and sexual harassment against the insured. Her solicitors indicated she would be willing to accept £15,000 by way of settlement of her claim. The insured did not dispute the majority of the allegations and their only defence was that until recently, she had gone along with this conduct willingly. The claim was settled for £12,000 plus costs.	£12,000
The insured are alleged to have wrongfully terminated one of their German employee's contracts. Proceedings were brought in the German labour court. A claim for approximately £40,000 was made. We instructed solicitors to advise and the matter was settled by negotiation. (August 2001)	£13,500
The former head of British operations for a Norwegian oil company was awarded compensation for race discrimination and unfair dismissal two years after losing his job to a Norwegian who was less well qualified.	£2,000,000
An accountant was sacked for gross misconduct after warning his directors that his former chief executive had claimed £371,000 in cash advances and expenses without receipts. Under the Public Interest Disclosures Act that allows "whistleblowers" to recover more than the normal £50,000 limit, he was awarded compensation for unfair dismissal.	£293,000
A former manager of a bowling centre has been awarded compensation after she claimed her career was being "crucified" by her ex-employers refusal to give a reference. She had left the company concerned after settling a sex discrimination complaint out of court. Her victory means that employers can no longer victimise former employees who have pursued sexual discrimination cases against them, by denying references.	£200,000
The Lord Chancellor, Lord Irvine has won his appeal against an employment tribunal decision that he had indirectly discriminated against a solicitor and law centre adviser on grounds of sex and race when he appointed a special adviser. The costs of defence are not recoverable in employment tribunal cases.	Defence costs.
The Law Society has been found guilty of race and sex bias by an employment tribunal, which ruled in favour of Kamlesh Bahl its former vice president who had alleged she had been discriminated against because of her racial origin and gender. Compensation is to be announced but may be as high as £1,000,000.	To be decided.
A trader at a Japanese bank received compensation after she sued for unfair dismissal and sexual discrimination.	£70,000
A city analyst who was paid 60 times less then her male counterparts could receive more than £1,000,000 in compensation after winning her claim for unfair dismissal and sexual discrimination.	To be decided.
A former policewoman reached an out of court settlement with the Metropolitan police for racial and sexual discrimination. The Met had been accused of discriminating unfairly against a female employee of Turkish extraction.	£1,000,000 (estimated.)
1,500 school dinner ladies won compensation in settlement of an equal pay claim brought against Cleveland County Council. While the women received only basic pay, male grounds maintenance and refuse collection workers had bonus payments consolidated into their wages, a difference of up to 40%	£ 4,000,000
Coca-Cola has agreed a settlement with a group of African-American employees who accused it of racial discrimination. Four African-American workers, representing 2,000 of their colleagues brought the case and claimed that they had suffered discrimination in pay, promotions and performance evaluations. Of the award, US$113,000,000 amounted to cash compensation, US$43,500,000 amounted to salary adjustments and US$36,000,000 amounted to company employment practice reform.	US$192,500,000
In America, Microsoft has settled a case brought by thousands of temporary workers who claimed they had been denied benefits while working at the software giant. The case revolved around Microsoft's practice of hiring long-term workers through temp agencies, allegedly so it could escape paying pensions, health care and stock options.	US$97,000,000