This type employment practices liability insurance covers the legal costs to defend claims involving sexual harassment, wrongful termination and discrimination including legal liability for such acts. Most policies provide limits ranging from as low as $25,000 per claim up to $1 million. Policies may cover employees as additional insureds.
Why do I need this insurance?
Employee lawsuits happen every day! If a current, past, or even prospective employee believes that they have been a victim of discrimination, sexual harassment, or a hostile work environment, they have the right to sue the employer for damages. Employment Practices Liability insurance will respond to these suits to both defend and pay legitimate claims including punitive damages if allowed by law.
