Employment practices liability insurance, or EPLI, is insurance coverage that includes provision for defense costs and damages from employment-related claims. This type of coverage can include diversity equity and inclusion (DEI), discrimination, workplace harassment, retaliation, and wrongful termination. Working with an insurance broker who understands the coverage necessary to keep your company and employees safe is ideal. Even the best of employers can face a lawsuit, which is why it’s important to avoid the cost of not having EPLI in the first place.
In the litigious environment we live, this type of coverage is vital. For example, we had a company where the manager was accused of harassment. He had developed a serious relationship with one of the cashiers – he ate dinner at her mother’s house regularly. When they broke up the cashier accused the manager of harassing her. She said she never wanted to go out with him, insinuating it was a coercive relationship. In the long run, the insurance carrier paid $700,000 out on this claim. We did have the coverage in place and although nothing was found to be the employer’s fault they still chose to settle.
EPLI provides coverage for the following situations:
- Sexual Harassment
- Wrongful Termination
- Diversity, Equity and Inclusion
- Third Party Discrimination
- Wage and Hour
Protecting your company from unexpected exposures isn’t always easy or realistic. Learning more about EPLI and understanding how its coverage can protect your employees and your company is easy. To learn more about EPLI and if it is right for your company’s needs, please use the link below to schedule an appointment with Geoff Johansing and his team.