As an employer, you might have to report the costs of employee liabilities and indemnity insurance you provide for your employees.
Employee liabilities and indemnity insurance covers your employees if someone takes them to court because of a mistake they make at work.
You must report on form P11D the total cost to you of the legal or insurance expenses for each employee. You don’t have to deduct or pay any tax or National Insurance.
The following guides contain more detailed information: