North Carolina Employment Practices Liability Insurance (EPLI)
The Importance of EPLI for your Business
Running a company can be a risky business. In the worst job market since the Great Depression, a record number of fired workers are not going quietly. The Equal Employment Opportunity Commission said in January that it received more job discrimination complaints in the latest fiscal year than at any time in its 45-year history.
In addition to getting almost 100,000 new complaints, the federal agency filed 250 lawsuits, settled another 285 suits, and resolved 104,999 private sector claims. Those enforcement actions, mediations and other litigation cost employers a record $404 million in payments to workers filing claims.
EPLI is designed to protect NC business owners against claims from their employees concerning acts of wrongful employment practices.
These acts include:
- Actual or alleged wrongful termination
- Sexual Harassment
- Harassment- Hostile work environments
- Any Discrimination
- Wrongful failure to employ or promote
- Failure to provide or enforce adequate or consistent policies or procedures
- Negligent supervision
- Libel, slander, defamation, or humiliation
- Invasion of privacy
- Intentional infliction of emotional stress
The list is quite extensive beyond the ones listed and can be confusing to NC small business owners what they could be accused of and what the repercussions are.
Don't Ignore a Risk Greater than Fire
Your company is 3 times more likely to have an employee lawsuit than a fire. If you are like most North Carolina employers, you are not protected. NC Employment Practices Liability Insurance (EPLI) can protect your company from a variety of employment suits. It is important coverage for every company to consider as part of their business insurance, yet less than one-third of all US employers have it. Facts:
- The average cost to defend even a small claim is $10,000.
- Court settlements average $80,000.
- Businesses with even 1 employee can be held liable.
- 1 in 4 business owners think they are already covered.
Small Employers get Sued too
All of these lawsuits were filed against companies with fewer than 25 employees. The most common complaints include:
- Age 16%
- Race 22%
- Sex 18%
- Disability 12%
- Retaliation 23%
- Other 9%
The Cost of EPLI is Small Compared to the Risks
Bottom line. Can your North Carolina company afford not to have it?
Our North Carolina EPLI policies include free support. As part of your EPLI coverage with several of our insurance companies, you will get access to free online HR resources like employee handbook policies, compliance checklists and training materials. You can also call a dedicated hotline to speak with an employment law attorney - free of charge.
With these resources, you can actually save money: Up to $1,000 a year.
Talk to Us About adding EPLI to Your Business Policy
All NC businesses are at risk from issues related to employment practices. It can come up during hiring situations if you do not hire someone who then assumes you were discriminating. It can happen if you terminate an employee who then decides he or she was treated unfairly. Employment-related lawsuits are filed every single day, and up to half of all businesses will face a lawsuit at some point. Is your business prepared?
Complete the Free NC Employment Practices Liability Insurance Quote Request form today and find out how we can help protect your business better.