The Association of British Dispensing Opticians is an Appointed Representative of Lycetts. Lycetts is a trading name of Lycett, Browne-Swinburne and Douglass Limited which is authorised and regulated by the Financial Conduct Authority
Why Every Opticians Practice Needs Insurance for Vicarious Liability
In the modern landscape of healthcare, running an opticians practice means more than just offering high-quality eye care—it means protecting your business against the unexpected. One of the most overlooked but increasingly relevant legal threats to optical practices today is vicarious liability. If you employ, contract, or work alongside optometrists, dispensing opticians, or locums, you could be legally responsible for their professional actions—even if you weren’t directly involved.
Let’s break down what vicarious liability means for you and why we think specialist insurance is so important.
What is Vicarious Liability?
Vicarious liability is a legal principle where one party (usually a practice) is held liable for the actions of another (typically an employee or contractor).
In the context of an opticians practice, this means you could be held legally and financially responsible for mistakes made by:
• Employed optometrists or dispensing opticians
• Locum practitioners
• Receptionists or optical assistants
• Even self-employed contractors operating within your business premises
If a patient sues after an alleged misdiagnosis, a prescription error, or a failure to refer, your business could be on the hook—even if you didn’t see the patient yourself.
But What If They’re Self-Employed?
This is where many practice owners are caught off guard.
You may assume that a self-employed locum optometrist is responsible for their own work. However, recent legal rulings have challenged that assumption. Courts have shown a growing tendency to impose vicarious liability on businesses even when professionals are self-employed, especially in healthcare.
In Ramdhean v Agedo and The Forum Dental Practice Ltd (2020), a dental practice was found liable for the negligence of a self-employed associate where the judge ruled that since the practice held itself out as providing a full service to patients, it could not deflect responsibility.
The same logic can and has been applied to opticians. If your patients see a practitioner under your brand, in your building, using your equipment—they may reasonably believe they’re being treated by “your” practice, and the law may agree.
The Consequences of Being Uninsured
Let’s be clear: even one negligence, or alleged negligence claim can cause serious financial damage to an optical business.
Without adequate vicarious liability insurance:
• You could face legal costs in the tens of thousands (or more)
• You may be ordered to pay compensation to injured patients
• Your reputation could suffer irreparable harm
• Your personal assets may be at risk if you’re a sole trader or in a partnership
And remember, regulatory bodies like the General Optical Council (GOC) may conduct their own investigations, further compounding the stress and consequences of a claim.
The Solution: Comprehensive Insurance Cover
The good news? These risks can be effectively managed with the right insurance.
At a minimum, you should ensure your practice has:
1. Professional Indemnity Insurance – Protects against claims arising from professional negligence, including missed diagnoses, incorrect prescriptions, or substandard clinical care.
2. Vicarious Liability Cover – Specifically protects your business against claims resulting from the actions of employees, contractors, or locums.
3. Public Liability Insurance – Covers accidents or injuries that occur on your premises.
4. Employers’ Liability Insurance – A legal requirement if you have staff, covering injuries or illness they may suffer as a result of their work.
What to Look for in a Policy
Not all insurance is created equal. When assessing your policy, ask:
• Does this cover both employees and self-employed practitioners?
• Are locums covered when working under my business name?
• Is there a clear limit of indemnity, and is it high enough?
• Is legal defence included in the event of a claim or investigation?
Lycetts has partnered with ABDO to help you find a solution that mitigates the risks of Vicarious Liability
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