What is Employment Practices Liability Insurance?

EPLI protects an employer against claims made by employees, former employees, or potential employees.  It covers discrimination (age, sex, race, disability, etc.), wrongful termination of employment, sexual harassment and other employment-related allegations.  It covers the company as well as directors and officers.

An estimated three out of every five firms will be sued by an employee.  Many companies are sued by applicants who are never hired, or employees who stay for just a short time.  Even if the claims are groundless, the legal defense of a suit is costly in terms of time, resources and finances.  New companies are especially vulnerable as procedures for hiring, firing and discipline have not been adequately designed and implemented.

It is impossible to monitor every employee and every conversation that takes place in the workplace.  Please call us if you are interested in learning more about this form of coverage for your company.

From “Employment Practices Liability” by InsurPro.