Employment Practices Liability Insurance (EPLI) is a relatively new form of liability insurance needed as soon as you start to hire employees. It provides protection against claims made by employees, former employees or potential employees. It also protects employers against discrimination (age, sex, race, disability, etc.), wrongful termination of employment, sexual harassment and other employment-related allegations.
With EPLI, your firm, including Directors and Officers are covered. Most investors and directors will require that you carry this coverage as part of your Directors and Officers Liability Insurance since they can also be held liable in suits relating to employment practices.
These coverages are excluded from all other insurance policies.