Employment Practices Liability Insurance

Employment practices liability insurance (EPLI) can provide coverage for claims that your organization violated an employee’s legal rights. It is available for businesses and nonprofits of all sizes, regardless of industry.

The experienced team at Sam Buentello Insurance Agency in Cedar Park, Texas, can provide details on EPLI and other commercial insurance policies. Contact us for more information on designing an insurance portfolio that best suits your organization’s needs.

What Is Employment Practices Liability Insurance?

EPLI is a specialized type of insurance that provides coverage for lawsuits from prospective, current or former employees who allege that your organization engaged in wrongful employment activities. It can help compensate affected parties and cover associated legal costs, even if the claim is ultimately dropped.

Organizations may package EPLI with other management liability policies, such as fiduciary liability insurance, special crime insurance and directors and officers (D&O) liability insurance. It may also be available as a standalone policy.

What Does EPLI Cover?

EPLI can provide coverage for claims of wrongful workplace practices such as:

·        Discrimination

·        Harassment

·        Wrongful discharge

·        Retaliation

·        Failure to promote

·        Failure to hire

·        Defamation

·        Mismanagement of employee benefits

Reach out to your insurance agent for more information on coverages, limits and exclusions.

Why Do I Need Employment Practices Liability Insurance?

Any organization with employees, including small businesses, large companies or nonprofit entities could face lawsuits regarding wrongful employment practices and should consider EPLI. Other commercial insurance policies (e.g., general liability insurance or workers’ compensation insurance) typically do not cover these types of claims, and EPLI can help fill this coverage gap.

Risk Management and EPLI

Risk management strategies (e.g., maintaining robust policies and procedures on proper workplace practices and regularly holding training sessions on these subjects) may help reduce the likelihood of facing a wrongful employment practices lawsuit. Other practices may also help strengthen your risk management plan. Additionally, insurers may require safeguards to be in place before insuring an organization. Reach out to your agent to discuss the relationship between risk management and insurance.

 

How to Get EPLI

The knowledgeable professionals at Sam Buentello Insurance Agency can help you get the employment practices liability insurance policy that fits your needs. Contact us today for details.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.