Introduction to Employment Practices Liability Insurance

Liability insurance may be one of the key growth areas in the insurance business today. This may be due to the appearance of new risk definitions, and it may partly be due to an increase in lawsuits. These days, general liability insurance may not be enough for the typical business, and you may need to consider employment practices liability insurance as well. It is designed to provide business coverage for allegations of a number of employment law violations.

In the tough economy we are currently experiencing, some people may be more inclined to seek external causes when things go wrong. This can lead to a lawsuit by an employee claiming that his or her rights have been violated.

Employment practices liability insurance typically helps provide coverage for allegations of sexual harassment, wrongful dismissal, and discrimination on the grounds of age, race, sex, gender or disability, breach of contract, emotional distress and invasion of privacy.

Coverage may also be purchased for wage and hours of work breaches, wrongful failure to employ, and failure to grant tenure. Other categories include allegations of employment-related slander or libel and even false imprisonment.

You probably know how likely some of those allegations may or may not be in relation to your business. It can be a complex subject, so it may be helpful to discuss employment practices liability insurance in depth with an experienced insurance agent, who might be able to work through the options with you. Why not give us a call today?