The Best Private Employment Practices Liability Insurance

Who knows the best insurance products better than the brokers who recommend them every day? Insurance Business America has engaged the country’s top brokers in one-on-one interviews and surveys to determine the leading Private EPLI products. IBA’s inaugural Five-Star Excellence Award in Private EPLI celebrates companies not only with outstanding product offerings, but also first-class broker support and industry knowledge. The Five-Star Excellence Award allows brokers to understand the partners their peers have chosen to present to clients – giving you an upper hand when selecting insurers to work with.



Determining America’s top insurance products takes a keen understanding of the market offerings – that is why IBA has enlisted the help of thousands of brokers to determine the 2021 Product Awards. Read more about how we determined our winners here.


5-Star Excellence Awards

  • Berkley Professional Liability
  • CFC Underwriting
  • Chubb
  • eRisk Solutions
  • Markel American Insurance Company
  • Travelers
  • USLI - United States Liability Insurance Group

What is private employment liability insurance?

Employment practices liability insurance (EPLI) is designed to protect a company and its workers against claims arising from day-to-day employer and employee relationship. Policies typically provide coverage for monetary losses incurred in the settlement and litigation of unfair employment practices, including breach of contract, discrimination, harassment, and wrongful termination.


The company’s size, geographic location, business type, and other risk factors often determine the cost of EPLI. Previous employment lawsuits also affect the availability and price of the insurance. EPLI is often bundled with workers’ compensation insurance, which protects employers from costs associated with work-related illnesses, injuries, and death.


Why is employment practices liability insurance (EPLI) needed?

The US has experienced a rise in employment-related lawsuits and claims this past decade, and industry experts believe the recent pandemic-fueled recession could trigger another wave of increase. The situation makes employment practices liability insurance (EPLI) vital for businesses.


EPLI protects companies from financial losses in an event an employee lodges a complaint for work-related issues such as discrimination, harassment, or unlawful termination. It typically covers the costs associated with the lawsuit.


What does an EPL policy cover?

EPLI covers the legal costs incurred in the litigation, settlement, and judgement of a lawsuit. Some of the common claims the policy protects against include discrimination, sexual harassment, unlawful termination, breach of contract, deprivation of career opportunities, mismanagement of benefit plans, negligent evaluation, and wrongful discipline.


The price of EPLI premiums are generally dictated by the company’s size, location, nature of business, and risk exposure. It can also be affected by previous claims. Policies are often package with workers’ compensation insurance, which protects companies from claims arising from work-related injuries, diseases, and death.


How much EPLI coverage do you need?

Employment experts recommend that companies purchase EPLI, even those with solid human resource policies in place, as claims no matter how small and even if untrue could prove costly. Ideal limits can be $100,000 per employee and incident, and $500,000 per policy. Businesses with greater risk levels should purchase insurance with higher limits.


Does EPLI cover independent contractors?

Some companies provide EPLI coverage for seasonal workers, leased employees, and independent contractors. However, this type of coverage is optional.


Who is EPLI right for?

All types of companies benefit from carrying EPLI, including private and public business, financial institutions, and non-profit organizations.


The year in employment practices liability insurance...

2020 has caused many changes in the insurance world. From new risks to mitigate, to understanding how the pandemic would impact clients, brokers had daily challenges to overcome. Here are some of the biggest news stories in EPLI this year: 


Finding a middle market EPLI carrier is getting more difficult

The pandemic has brought new professional liability challenges forward for companies, as have other developments, such as the US Supreme Court’s historic decision in mid-June that the 1964 Civil Rights Act protects gay, lesbian, and transgender employees from discrimination based on sex. However, the impact of these events has so far been uneven across the professional liability market, according to an expert.


Non-profit EPL exposure likely to increase during pandemic

Layoffs and furloughs are extremely difficult in the best of times, let alone amid a global pandemic and economic slowdown. When making these emotional staffing decisions – even if they’re taken out of necessity – an expert says non-profits open themselves up to greater employment practices liability (EPL) exposure.


Pregnancy discrimination settlements on the rise

As pregnancy discrimination experience a significant upward trend, an expert says it’s vital for employers to observe EEOC laws and best practices.


How will new overtime rules impact EPL exposure?

An expert says that the challenge employers face regarding the new Fair Labor Standards Act is local interpretation and enforcement.



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