Employment Practices Liability (EPL) coverage
Close your eyes for a minute. Imagine yourself sitting in your office, straightening up your desk and preparing your schedule for tomorrow. There is a knock at the door. Joe, your most loyal employee, would like to speak with you.
You greet Joe and offer him a seat, but you can tell something is wrong. Joe feels he was the best candidate for the new supervisor position, and informs you he will be taking you to court for wrongful failure to promote. You are in disbelief, immediately second-guess your decision, and panic sets in. Now open your eyes, take a deep breath and relax; you have Employment Practices Liability (EPL) coverage with Stanberry Insurance Agency.
In today’s sue-happy world, where many people are out to make a quick dollar, it is now more important than ever to properly protect yourself and your business. Employees are increasingly aware of their rights and the laws, especially with respect to discrimination and harassment, leading to a sense of entitlement where employers are now forced to spend significant amounts of money to fight groundless allegations.
Consider:
· In both 2006 and 2007, more than 100,000 EPL charges were filed with federal and state agencies each year.
· 52% of those charges were filed against small businesses.
· 81% of those charges were settled out of court for between $22,400 and $40,500.
· Roughly 75% of the cases that went to court were found groundless, but still required defense costs in excess of $10,000.
The numbers are staggering and have the potential to cause significant setbacks to any business, but take a deep breath and relax; you are offered EPL coverage with Stanberry Insurance Agency. For more information on EPL coverage contact our agency.
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