Definition

Covers the personal assets of company leaders if they are sued for wrongful acts. It protects executives from personal financial loss during legal challenges.

What to consider

  • Review what employment-related issues are covered.
  • Understand policy limits and exclusions.
  • Implement best practices to minimize risks.

Real world scenarios

  • A business secured employment practices liability insurance to cover claims of wrongful termination or discrimination.
  • An HR manager ensured the company had EPL coverage before implementing new hiring policies.
  • An organization faced a lawsuit and relied on EPL insurance to cover legal costs.

Related terms

Insurance & Financial Protection