Employment Practices Liability Insurance (EPLI) has become an important insurance coverage in the last few years for many good reasons. EPLI protects your business from the financial consequences of employment related lawsuits that an employee’s rights were violated. Some examples of these types of claims are pregnancy discrimination, illegal background checks, wrongful termination, harassment, and the list goes on and on. Here are 6 frightening facts about employment practices liability insurance.
- Businesses are 3 times more likely to be sued by an employee than experience a fire.
- Over the last 20 years employee lawsuits have risen about 400%.
- About 41.5% of employee lawsuits are brought against private companies with less than 100 employees.
- The average cost of settling is $75,000.
- The average court costs and legal fees when the case goes to trial is $150,000-$200,000.
- Resolution can take 18-24 months.
The time and money these types of claims can cost a business are devastating. Each business has unique needs when it comes to EPLI coverage. To determine what your business needs are, and the cost of EPLI, contact your insurance agent.
Trusted Choice Independent Insurance Agents – https://www.trustedchoice.com/business-insurance/liability/epli/
Equal Employment Opportunity Commission – https://www.eeoc.gov/