Biba has warned small businesses that the employers' liability crisis will get worse before it gets better.
Biba's Jennifer Weller said: "There is no quick-fix solution to this problem. Committed work is under way, but what started as a problem faced by hundreds of businesses has now stretched to thousands. "
A recent survey by the British Chambers of Commerce showed that over 6% of businesses have been refused cover. A shortgage of insurers providing cover has led to soaring premiums.