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I am new to the arena of Employers Liability and have to discuss this shortly with a client. I am trying to wrap my mind around the major differences between the coverages offered in EPLI vs the personal injury coverage you would receive in a GL policy. Can anyone provide some good reading material and/or opinions?

Thanks!

Sal

If you use a wholesale broker, call them and find out who their Financial Services expert is, and take them with you! If you don't use a wholesale broker, see if you have a direct appointment with USLI, and call them. Most retail brokers have a department that specializes in this arena, perhaps your own company has some resources.

[color=#0040FF]EPLI
by salmanno06 on Wed Apr 09, 2008 6:12 pm

I am new to the arena of Employers Liability and have to discuss this shortly with a client. I am trying to wrap my mind around the major differences between the coverages offered in EPLI vs the personal injury coverage you would receive in a GL policy. Can anyone provide some good reading material and/or opinions?[/color]

EPLI is Employment Practices Liability which provides coverage for employment related wrongful acts such as wrongful termination, discrimination, sexual harassment, etc. Employers Liability is a coverage on a Worker's Compensation policy which provides coverage for suits arising our of bodily injury to an employee during the course of employment. Personal Injury as part of a GL policy provides coverage from claims by third parties for items such as false arrest, libel, slander etc (see the definition in the GL policy). It appears you are rather green regarding casualty coverages, so I would highly recommend you attend the CIC Casualty institute to get this information that you need to discuss coverages with clients.

Good luck!

Sal,

One primary reason for purchasing EPLI is for the coverage that is now excluded on most GL policies. For example, employer discrimination in hiring/improper hiring, improper termination, sexual harassment, and all the other that go with that exposure.

Today, EPLI is required for any business.

Sal: Be sure you get Third Party EPLI. If the form for the company you write it with doesn't automatically include it, get it endorsed. I'm seeing many claims from that source recently. Customers, sales people, etc.

3rd party is a must...ask the folks at Denny's after they got slapped with that discrimination lawsuit...

Your General Liability Policy will most likely have an "Employment Related Practices Exclusion". This would prevent the GL from responding from any claim brought forward by an employee. That is why you would need EPLI. -short and sweet.

I hope that helps.

Declan

Here is a quick easy blurb right from the horses mouth.

EPLI covers businesses against claims by workers that their legal rights as employees of the company have been violated.

The number of lawsuits filed by employees against their employers has been rising. While most suits are filed against large corporations, no company is immune to such lawsuits. Recognizing that smaller companies now need this kind of protection, some insurers provide this coverage as an endorsement to their Businessowners Policy (BOP). An endorsement changes the terms and conditions of the policy. Other companies offer EPLI as a stand-alone coverage.

EPLI provides protection against many kinds of employee lawsuits, including claims of:


Sexual harassment

Discrimination

Wrongful termination

Breach of employment contract

Negligent evaluation

Failure to employ or promote

Wrongful discipline

Deprivation of career opportunity

Wrongful infliction of emotional distress

Mismanagement of employee benefit plans



Also check out the following sites for additional information:
http://www.iii.org/individuals/business/optional/epli/
http://www.epli.com/


Use to broke this as a stand alone coverage when I worked at Lloyd's, its amazing what people will sue you for these days.

THANK YOU TO ALL FOR YOUR THOUGHTS ON THIS TOPIC! IT WAS EXTREMELY HELPFUL!

SAL