Employment Practices Liability Insurance

Employment Practices Liability Insurance

Employment Practices Liability Insurance (EPLI) provides defense and indemnity protection against claims arising from the employer/employee relationship. The policy shields employers—plus all current, former, and prospective employees, directors and officers, even the corporate entity—against a broad spectrum of employment-related claims.

EPLI from Frankenmuth Insurance is available in two forms, standard and enhanced. The standard form covers those amounts a policyholder is required to pay by reason of a wrongful employment practice—discrimination, harassment and wrongful termination. The enhanced form adds retaliatory discharge, misrepresentation to an employee, libel or slander, invasion of privacy, wrongful discipline and more to the list of covered charges. Frankenmuth Insurance automatically provides $100,000 of standard EPLI coverage with most every Businessowners and Commercial Package policies. Available coverage amounts range from $100,000 to $1,000,000.

The average legal bill for a groundless EPLI suit is $20,000. Add potential damages and increased defense costs for lengthy suits and it becomes clear—the tab for an EPLI suit can be financially ruinous. Frankenmuth Insurance provides an inexpensive form of protection for this rapidly growing hazard.