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Employment Practices Liability Insurance

Employment Practices Liability Insurance

If you are a business owner, you must be aware that it is highly important to keep your business assets and reputation intact. This means that you must safeguard your company not only against natural hazards and other unfortunate events but also against employment-related lawsuits.

Employment-related lawsuits are becoming more common in today’s work environment – from California to other states. Even if the claims against your company are baseless, the process is bound to take a toll on your business reputation as well as your finances. This is the exact reason why you need to get employment practices liability insurance (EPLI).

Help Your Business Save Thousands in Legal Defense Fees

An EPLI policy ensures your business can survive any employment claims made by your current employees, former employees, and even potential hires. While the coverage is not a requirement for firms to operate, it is considered a smart investment, especially if you don’t have a legal department or an employee handbook that outlines your company policies and procedures.

Whether you are a small enterprise based in San Ramon or Danville or a startup located in Dublin or Pleasanton, EPLI will provide coverage for different types of employment-related claims thrown against your business, including:

Defamation – Besmirching an employee’s reputation by making false statements about them.

Discrimination – The unequal treatment of employees based on race, age, sex, religion, and disability.

Harassment – Any unwelcome act that creates an unpleasant, abusive, or hostile work environment.

Retaliation – Any act a business takes against an employee who makes a complaint against them.

Wrongful discipline - Disciplining an employee for a mistake that did not happen or meting out excessive discipline.

Wrongful failure to promote – Denying an employee a promotion.

Wrongful dismissal/termination – Firing an employee for reasons that breach a contract or are against the law.

Other employment-related acts such as wrongful demotion, violation of the Family and Medical Leave Act, salary reduction, and unwanted transfers.

Factors that Impact Coverage Cost

You can purchase EPLI as a rider to your existing business owner policy or general liability policy, or as stand-alone coverage. Its cost varies, depending on factors such as:

  • Employee headcount
  • Turnover rate
  • History of lawsuits
  • Business’s financial worth
  • Existence of workplace policies and procedures
  • Type of business

Get EPLI from Independent Agents in California

EPLI is beneficial to both large and small businesses. Whether you want to upgrade your existing coverage or are looking for one that meets your business risks, contact us at 925-866-1444 to get a quote in minutes.