Employer / Employee relations can be difficult especially with the increasingly complex Federal, State and Local statues that must be followed. EPLI protects you from the costs of defense and litigation if claims are made against your business.
Why do you need Employer Practices Liability Insurance?
A disgruntled employee can be an expensive problem. There are numerous laws employers must comply with to avoid legal claims being made against them by their employees (or former employees). If a complaint is filed against you with the Equal Employment Opportunity Commission it is a time consuming and costly process defending yourself, the average complaint takes over a year to resolve!
What does an EPLI policy protect you against?
The EPLI policy covers you against the vast array of employee claims scenarios. the most common causes for employees to file complaints are:
- Wrongful Termination
- Sexual Harrassment
- Negligent Promotion or Retention
- Invasion of Privacy
- Discrimination (Sex, Race, Age or Disability)
- Wrongful Refusal to Hire
- Breach of Contract
Employers Practices Liability is automatically included on most New-Business and Renewals of Business Liability policies with a small limit ($50,000 or $100,000). A standalone EPLI policy offers much greater protection with limits of up to $1,000,000. The premium for this policy is calculated based on the number of employees you have and the industry you are in.
The policy can also be extended further (state laws permitting) by adding coverage against punitive damages and third party claims (claims made by customer or suppliers - for eligible classifications only). Your agent will be able to explain what endorsements are available for your business when arranging your policy.
Additional Benefits of the EPLI policy
As well as the coverage provided your EPLI policy also grants you access to complimentary Risk Management services.
An area designed for workplace communication among registered users. It includes a calendar, a place to post notices, helpful links and your employee handbook.
Four training modules that cover ways to prevent workplace sexual harassment, discrimination and wrongful termination and ways to promote ethical behavior.
A reference section containing articles on important workplace issues. It also includes self-audit checklists, links to important federal and state government websites, and major employment legislation. Human Resources and Legal representatives you designate within your organization can also view and download a selection of forms and policies.
Best Practices Help Line
Loss-prevention consultations via telephone or online conferences on how to manage employee relations and address daily workplace incidents and concerns including:
- Responding to Incidents of Wrongdoing
- Crisis Management
- Threats of Litigation