Employment Practices Liability Insurance (EPLI) is critical for every business owner, no matter the size of the company. It can protect the business from liability against alleged wrongful acts during the hiring process, as well as claims of discrimination, retaliation, and wrongful termination.
The claims can vary a great deal and the chances of successful litigation aren’t always set in stone. Let’s take a look at some typical EPLI coverage claims.
An employee alleges some type of harassment for speaking out regarding improper behaviors or practices at the workplace. The retaliation could include a demotion, a cut in pay, or even termination.
2. Wrongful Termination
An employee feels that they were fired because of their advancing age. If the employee has gotten good job reviews, the case could be an easy one to win. Even in cases where the evidence isn’t black and white, the legal process could be very lengthy and expensive for the employer.
3. Failure to Hire or Promote
These claims are often related to workers who are in protected classes, as listed in the Americans with Disabilities Act (ADA). If someone believes they weren’t hired because of their disability, they could file a claim against the company.
The smart business owner knows that EPLI coverage is imperative in today’s work environment.