Insurance for UK Pet Boarding Businesses: What the Law Requires and What Councils Expect
One type of insurance is a legal requirement the moment you take on staff. Another is something many councils expect as a condition of your boarding licence. They're different policies, and boarders often mix them up.
Employers' liability insurance
Under the Employers' Liability (Compulsory Insurance) Act 1969, you must have employers' liability (EL) insurance as soon as you become an employer. The rules:
It must cover you for at least £5 million.
It must come from an authorised insurer.
You can be fined £2,500 for every day you're not properly insured.
You can be fined £1,000 if you don't display the certificate where employees can see it. It can also be made available on a website or intranet.
You don't need EL cover if you only employ close family (the Government's list covers spouses, civil partners, parents, grandparents, step-relations, children, grandchildren and siblings) or people based outside England, Scotland and Wales. If you work alone, EL doesn't apply, but the day you hire a kennel assistant, even part-time, it does. If you're not sure whether a helper counts as an employee, get advice before they start.
Public liability insurance
EL only covers your staff. It doesn't cover a customer who trips on your drive or damage a visitor causes on your premises. That's public liability.
The 1969 Act doesn't require it, but boarding licences are a separate matter. Standard licence conditions published by a number of UK councils require licence holders to carry adequate public liability insurance and, where they employ staff, employers' liability too, with certificates displayed on the premises. Conditions vary by council, so read the ones attached to your own licence.
Questions for your insurer
Boarding is a specialist activity, and a generic small-business policy may not cover what you do. Before you buy or renew, ask:
Does the policy cover animals in my care, including injury, illness, escape and death, or only injury and damage to third parties?
Does it cover the species I board and the type of boarding (kennel, cattery, home boarding, day care)?
If I board from home, is my home insurance still valid, or does business use void it?
Does it cover staff and volunteers, and what changes if I take on help?
Does it cover transport, if I collect and drop off?
What are the exclusions, and what does the insurer need from me, such as a current licence or particular security measures?
It also helps to keep your licence, insurance certificates and booking history together. PetPortal keeps bookings, guests and payments in one place, and a directory listing lets licensed businesses show pet owners their licence status.
Sources
Correct as of October 2026. General information, not insurance or legal advice. Check your licence conditions with your local council.