Employment Practices Liability Insurance (EPLI)

In recent posts, we’ve focused on preventing workplace harassment claims and on addressing harassment claims when they do occur. The reality of today’s business climate is that claims regarding sexual and other types of workplace harassment are more frequent than ever.

And that’s just the beginning: firms are increasingly vulnerable to litigation on a range of issues from hiring and firing to compensation and promotions. One disgruntled employee can easily create a costly and time-consuming scenario, and when such claims reach litigation, six-figure awards are not unusual.

That where Employment Practices Liability Insurance (EPLI) comes in. EPLI coverage can benefit employers in a number of very important ways:

Heading off trouble. Many insurers provide access to risk management training and human resources consulting, both of which can be invaluable in helping a company create a working environment that’s less likely to result in employee-driven claims and litigation.

Coverage for alleged acts. EPLI insurance not only protects companies from actual wrongful acts, but from alleged acts as well, helping to safeguard an organization from claims related to discrimination, harassment, retaliation and wrongful termination.

Legal help. When an incident does occur, you need advice and you need it quickly. A strong EPLI policy will provide the insured with access to legal resources. Should a claim proceed to litigation, you have expert help on your side.

Think of EPLI coverage as not only insurance to protect your business from worst-case scenarios but a package of strategies and support dedicated to preventing those scenarios in the first place.

Questions about Employment Practices Liability insurance? Contact Consolidated Insurance.


Consolidated Insurance and Offit Kurman Attorneys at Law are teaming up to present, “How to Protect Your Company from Costly Sexual Harassment Claims” on Tuesday, March 27th in Columbia. This free session will include further information on EPLI coverage. Register here.