In our litigious society, frivolous litigation and groundless claims rack up astronomical defense costs for employers and their insurance companies. While hacking and cyber liability have been getting all the recent press, Employment Practices Liability (EPL) claims quietly continue their upward trajectory.
It seems employment laws in the U.S. often favor the employee. Current employees, ex-employees and even rejected job applicants may file actions against employers. A few contemporary EPL claim drivers include:
- Social Media
- Mobile Electronic Devices
- Marijuana Legalization
- Telecommuting/job-sharing
- Pregnancy Accommodation
- Defense of Marriage Act
These trends and laws create more employment policies to implement and enforce. They also create additional venues for harassment and discrimination charges and the potential for more workplace accommodation requests. For these reasons, proper insurance coverage, risk management services and employee training is critical to mitigate the EPL exposures facing your business.
In 2015, PLM began providing Employment Related Practices Liability (EPLI) coverage to all its clients. Offering that protection at a very modest cost has proven to be a wise investment.
Though fewer than a dozen claims have been reported over the last two years, many of our clients found themselves in situations with current or ex-employees who had an axe to grind. We’ve received several calls from concerned clients who weren’t sure if a claim would arise but sought pre-emptive legal advice. Fortunately, we offer that service at no additional cost. For direction and advice related to your potential EPL scenario, simply call our legal helpline hosted by Jackson Lewis at 877- LAW-4EPL (877-529-4375) and identify yourself as a PLM policyholder.
When an actual claim arises via an EEOC complaint or otherwise, please report the situation to us or your insurance broker in the usual fashion. We have partnered with qualified EPLI claim specialists and attorneys who will investigate the allegations and vigorously defend your company when appropriate. As always, we are happy to assist and welcome your questions.