Understanding Employment Practices Liability Insurance2011 – Brochures Practical Advice
Due to the myriad of labor and employment laws that govern the employer-employee relationship, virtually all businesses face the prospect of being sued by their employees at some point. For many companies, an employee’s lawsuit, if successful, could be catastrophic since compensatory and punitive damages, together with attorney fees and costs, can amount to hundreds of thousands of dollars, if not more. In order to minimize this potential risk, insurance companies created Employment Practices Liability Insurance (EPLI). Consequently, understanding EPLI coverage is critical for every business in today’s litigious society.