What Is EPLI Insurance and Do You Need It? A Guide for NJ & PA Business Owners
Hiring employees is an important milestone for any business—but it also creates new risks.
Even when you have workplace policies and treat your employees fairly, your business could face allegations involving discrimination, harassment, wrongful termination, or other employment-related issues.
That's where Employment Practices Liability Insurance (EPLI) comes in.
What Does EPLI Insurance Cover?
EPLI is designed to protect businesses against certain employment-related claims.
Depending on the policy, coverage may apply to allegations such as:
Wrongful termination
Discrimination
Sexual harassment
Workplace harassment
Retaliation
Other employment-related wrongful acts
A claim doesn't necessarily have to result in a judgment against your business to become expensive. Legal defense costs alone can create a significant financial burden.
Do Small Businesses Need EPLI?
Employment-related lawsuits aren't limited to large corporations.
Small and mid-sized businesses can face the same types of allegations, particularly as they add employees and grow.
If your business has employees, it's worth discussing EPLI with your insurance professional.
Isn't This Covered by General Liability Insurance?
Not necessarily.
General liability and EPLI address different types of risks. General liability is generally focused on certain bodily injury, property damage, and personal and advertising injury claims, while EPLI addresses certain employment-related allegations.
Having one does not automatically mean you have the other.
Protecting Your Business as You Grow
Your employees are one of your business's greatest assets—but managing a growing workforce also creates additional responsibilities and risks.
At Barry Paul Rose Insurance Agency, we help businesses throughout New Jersey and Pennsylvania evaluate their commercial insurance programs and identify coverage that fits their needs.
Have questions about EPLI?
Contact us for a commercial insurance review.
