What is EPLI or Employment Practices Liability Insurance?
EPLI or Employment Practices Liability Insurance provides employers insurance coverage against claims made by employees alleging wrongful termination, harassment, discrimination and failure to promote among other employment-related issues.
Why is it important to renew & maintain coverage for this type of policy?
Coverage is written on a “claims made” basis. This means that a claim must have occurred during the experience period (which could extend back years or even decades). Coverage must still be in effect at the time a claim was filed. Often claims can occur years later. If the EPLI policy has been cancelled or discontinued (and tail coverage extending the reporting period not purchased) coverage will have ceased and your claim denied.