Employment Practices Liability (EPL) Insurance

Employment practices liability (EPL) insurance* covers the insured company, its management and employees against claims for wrongful employment practices.

This insurance covers the corporation, which is invariably the primary target, for such claims. By way of comparison, a directors’ and officers’ (D&O) policy covers claims against individual directors and officers for their legal liability for wrongful employment practices, but, unless specifically extended to do so, does not cover claims against the corporation itself.

Wrongful employment practices include:

  • wrongful or unfair dismissal
  • discrimination
  • harassment
  • misleading representation or advertising relating to employment
  • invasion of privacy and
  • employment-related defamation

EPL insurance covers damages, third party legal costs and defence costs.

*These product descriptions are summaries only. Cover is subject to the terms and conditions of each policy.