Simpliest Ways to Get Employment Practices Liability Coverage For Your Business

Regardless of the size of your business, employment practices liability insurance is an integral part of your risk management strategy. This insurance pays for your legal defense if someone sues you for violations regarding employee rights or terminations. The coverage will also help pay for any settlements on claims against your business.

The Vulnerability Covered With Employment Practices Liability Insurance

Your business is vulnerable to an expensive lawsuit even with a stellar human resource team. Since settlements made out-of-court or jury-awarded amounts often run into hundreds of thousands of dollars, employment practices liability coverage isn’t something you can afford to go without.

Your vulnerable areas where EPLI could provide coverage include:

  • Disability discrimination
  • Age discrimination
  • Racial discrimination
  • Mismanagement of employee benefits
  • Sexual harassment or discrimination
  • Wrongful termination

Common claims typically deal with wrongful termination, wage and hour violations, harassment, and discrimination. However, any perceived violation of the Family and Medical Leave Act, unequal or unlawful compensation practices, and perceived privacy or rights infringement could lead to a claim.

The Path Toward Simplifying Employment Practices Liability Coverage

The goal of an EPLI is to provide the financial support you need to handle lawsuits concerning employment practices. Your insurance premium depends on several factors, and your coverage will have some exclusions.

Impacting Factors

The insurer sets rates, but they take several things into account. The primary factors determining your rate include the following:

  • Industry
  • Number of employees
  • Revenue
  • Risk profile
  • Employment practices
  • EPLI claims history and turnover rates

You can simplify the process of obtaining coverage and receiving a competitive rate by working on your risk profile. Your liabilities could stem from poor employment practices, a factor that you can change. An insurer can share best practices and prevention strategies for employment liability claims. It’s wise to take their suggestions as it will save you money and potentially prevent lawsuits.

Non-Covered Events

Employment practices liabilities insurance doesn’t cover everything related to employee behavior or incidents. It also is limited in scope and doesn’t act as supplemental coverage for injuries or property damage. Exclusions from an EPLI policy include dishonest or intentional acts, property damage, slander or libel claims, employee or third-party injuries, and lawsuits related to injuries.

You can help your company by purchasing additional insurance policies to address these areas. It simplifies your risk management approach and removes any potential confusion over what your EPLI coverage offers. Insurers specializing in business coverage may offer to bundle premiums when purchasing multiple policies.

The Businesses Needing EPLI Coverage

Any company with employees could benefit from this form of insurance coverage. It applies whether you have independent contractors, full and part-time staff, volunteers, seasonal help, vendors, and those applying for a position.

The Choices for Employment Practices Liability Insurance

While many insurers offer EPLI, you should work with an insurance partner who will help guide you through your risks and provide strategies to prevent and reduce potential claims. An expert in the industry will help simplify obtaining affordable employment practices liability insurance.

About Byrnes Agency 

At Byrnes Agency, we offer insurance solutions that can be tailored to meet your specific needs. Whether you’re looking for personal policies or commercial coverage, we have the right coverage for you. To learn more about our products, contact us today at one of our two locations.

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Dayville Office

Phone: (860) 774-8549

394 Lake Rd

Dayville, CT 06241

United States

Hours of Operation: Monday- Friday 9:00am-5:00pm

Norwich Office

Phone: (860) 886-5498

6 Consumers Avenue

Norwich, CT 06360

United States

Hours of Operation: Monday- Friday 9:00am-5:00pm

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