Employment Practices Liability Insurance (EPLI) - Essential for your Practice

posted by Joe Soda in Insurance on March 07, 2017

If you're like most D.C.s, you have a great working relationship with your staff. It's hard to believe that any of them would ever sue you. 

But, all it takes is one comment or action—however unintentional—for an employee to file a complaint or lawsuit, claiming his or her legal rights have been violated. (For common claim examples, see Part 1 and Part 2.)

Think about how many decisions you make every day that affect your staff ... decisions about hiring, job responsibilities, pay, promotions, and termination, just to name a few. If any of these processes is handled incorrectly, it could result in an expensive lawsuit ... one that may drag on for years. 

An Easy Solution

Thankfully, there's a solution to help manage your risk – Employment Practices Liability Insurance (EPLI). EPLI can protect your practice from many types of employee lawsuits, such as:

  • Discrimination;
  • Sexual harrassment;
  • Wrongful termination;
  • Breach of contract;
  • Wrongful discipline;
  • And more.

An EPLI policy can be part of a Business Owners' Policy or standalone coverage. It generally covers the cost of defending a lawsuit in court, as well as judgments or settlements up to the chosen limit. Legal costs are covered, regardless of whether your practice wins. EPLI policies usually do not pay punitive damages or civil or criminal fines.

Essential Coverage at an Affordable Cost

You may think coverage that can save you so much money would cost a lot ... that's not necessarily the case. EPLI coverage can cost as little as $50 per employee, per year, for minimal coverage amounts when bundled with a Business Owners' Policy.

Now, while you're thinking about it, is the time to learn more about Employment Practices Liability Insurance. NCMIC Insurance Services can help. Call one of our agents at 1-800-769-2000, ext. 8180.


About The Author
Joe Soda

Joe Soda, RPLU
Assistant Vice President

Joe's insurance background is varied and includes positions in claims and sales. He joined the company in 1993 and has served in his current position as assistant vice president of sales since 2003. He is responsible for the growth of the insurance agency with a focus on commercial insurance accounts and programs. Joe holds a Bachelor of Science degree in business management from Upper Iowa University.

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