Does Your Company Need Employment Practices Liability Coverage?

Disgruntled employees are filing lawsuits against their employers at an alarming rate. Without proper coverage, your company could be liable for expensive legal fees and court costs, even if you’ve done nothing wrong.

What Is Employment Practices Liability Insurance?

Known as EPL insurance, this coverage helps to protect your company against many unwanted employee claims, including the following scenarios:

  • Discrimination – If an employee feels they have been discriminated against because of their age, race, gender or sexual orientation, they have the right to file a legal claim.
  • Wrongful Termination – An employee who believes they have been terminated unlawfully may seek legal counsel.
  • Harassment – The most common form is sexual harassment, but any employee who is made to feel uncomfortable in a work environment could file a lawsuit. 
  • Failure to Promote – An employee may be turned down for a promotion for many reasons. If they feel that it was caused by discrimination or some type of retaliation, however, they may sue.

Can EPL Insurance Be Added to an Existing Policy?

If you already have a general liability insurance plan, you may be able to add an employment practices liability policy to the existing plan. Talk with your insurance agent to ensure you choose the best policy for your unique situation.

Make sure you have adequate coverage to protect your business from unwanted employee claims.

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