Management Liability

• Employment Practices Liability
• Fidelity

You may be doing everything in your power to prevent employee lawsuits.  But you can’t monitor every conversation or action that happens.  And you can’t control how someone will react.  One derogatory remark in reference to a person’s race or color can spark a charge against your company.  That charge can come from a current employee, an ex-employee or even an applicant you didn’t hire.

Without warning, a person can sue you for discrimination on the basis of race, color, gender or age, among other things.  Someone can sue you for retaliation, wrongful termination, sexual harassment, hostile work environment or violation of whistleblower laws.  Even if the claim is groundless or fraudulent, you must spend time and money in defense or settlement.  The longer the suit continues, the more it tarnishes your company’s reputation and brings down your employees’ morale.  And the best recruits won’t even consider joining your company until the complaint is resolved.

This kind of risk is growing.

Increasing diversity in the workplace has contributed to an escalation of charges alleging racial or color discrimination.  According to the U.S. Equal Employment Opportunity Commission (EEOC), race discrimination is now the most frequently filed charge.  In 2007, the EEOC received 30,510 race discrimination charge filings — a 12 percent increase over the previous year, and the highest level of charges in more than a decade.*  And EEOC statistics also expose a steady upsurge in charges alleging color-based discrimination.  These charges have grown from 374 in 1992 to 1,241 last year.**

How do you protect yourself, your company and your company’s directors?

LIU Employment Practices Liability Insurance protects your company.

All companies, no matter what size or type of business, are vulnerable.  You need this coverage just as soon as you hire employees.  Most risk managers understand and support the need for this coverage, since directors, officers and key employees can be held liable in EPL lawsuits.

LIU Employment Practices Liability Insurance is designed to protect your company’s management, shareholders and employees, including independent contractors and leased employees, in the event that your company becomes the target of an EPL claim. 
 
Our experienced EPL underwriters can tailor coverage to fit your company’s business.  Our EPL claims specialists have extensive knowledge and working relationships with local EPL defense lawyers.  In fact, our policies often offer coverage excluded as too risky by other insurers — simply because we have the experience to know what a real concern is and what one isn’t.

 

Why choose LIU?
 
Expansive definition of Wrongful Employment Acts
This includes the following employment-related torts:
Employment-related libel, slander, false arrest, humiliation, negligent
infliction of emotional distress, defamation or invasion of privacy against an employee; failure to employ or promote, discipline, deprivation of career opportunity, demotion or adverse change in terms, conditions or status of employment; failure to grant tenure, negligent hiring or supervision, negligent evaluation or retention, reference, failure to provide or enforce corporate policies and procedures related to employment

All-inclusive primary policy coverage
Our primary policy includes the summary of coverages listed below, which means you don’t have to add separate endorsements.

Discrimination or harassment against a Third Party, based upon age, gender, race, color, national origin, religion, creed, marital status, sexual orientation or preference, gender identity or expression, genetic make up testing, pregnancy, HIV or other health status, disability, or other protected status under federal, state or local law
Domestic Partner/Spousal coverage

Definition of claim includes monetary and non-monetary relief

Expanded definition of employee to include independent contractors

Defense cost for WARN  violations

Modified Hammer Clause of  90/10

Policy limits up to $25 million

Worldwide coverage

Loss control services
We offer the following programs to help you recognize and mitigate risks, so lawsuits don’t happen:
• A free hotline to discuss practical, confidential employment matters with senior-level attorneys from Jackson Lewis LLP, one of the country’s leading national employment law firms

• Access to Jackson Lewis’ Web-based information — including its “Preventive Strategies” newsletter and updates about workplace law developments — at  www.jacksonlewis.com

• Complimentary attendance at Jackson Lewis’ breakfast series programs across the country, and discounted attendance at multi-day conferences (to locate a program near you, go to www.jacksonlewis.com.
They also offer discounted rates on risk management audits, development or review of employment practices documentation, in-house management education programs and online training
 

*The U.S. Equal Employment Opportunity Commission.  www.eeoc.gov
 
**Labor and Employment Law, summer 2007.

Liberty International Underwriters is the marketing name for the
broker-distributed specialty lines business operations of Liberty Mutual Group. Certain coverage may be provided by a surplus lines insurer. Surplus lines insurers do not generally participate in state guaranty funds and insureds are therefore not protected by such funds.

Employment Practices Liability Team

New York

Melissa Mattioli

Tel. (212) 208-4142

Email | View Profile

Susan Klein

Tel. (212) 208-4109

Email | View Profile

Employment Practices Liability Overview

What is Employment Practices Liability?