Employment Practices Liability Insurance (EPLI)

Wondering if your business should be protected by employment practices liability insurance (EPLI)?
If you have one or more employees, you need to learn more about EPLI. Any time you interview, hire or dismiss someone, you are taking a risk. All employers, no matter the size of the company, can be subject to legal action from past, current and even prospective employees. When it comes to employment practices, the causes of action are broad, defense can be difficult and settlements are significant. It’s smart to secure protection now, before you’re hit with a claim.

Why is employment practices liability insurance important?

Studies show that three out of five employers are sued by an employee. Why take the risk? If someone perceives discrimination or harassment, from you or other employees, you can be held liable. EPL coverage protects you from such claims. New companies are especially at risk for liability claims because they often have not taken the time to create employee handbooks with clearly documented policies and procedures.

Of all U.S. civil litigation, employment issues make up 30 percent of the cases. And, it has been reported that charges filed through the Equal Employment Opportunity Commission increase every year.