Employment Practices Liability insurance (EPLI)

Coverage for employee lawsuits around discrimination, harassment and wrongful termination

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What is EPLI insurance?

Employment practices liability insurance (EPLI) could help cover legal costs from work claims of discrimination, harassment, wrongful termination & ADA violation. It’s an add-on to general liability at ERGO NEXT.

What can EPLI insurance cover?

Claims of workplace discrimination
Legal harassment allegations
Wrongful termination lawsuits
ADA or employee rights violations

How much does EPLI insurance cost?

$18/per employee per year^†

Buy online in about 10 minutes, and cancel anytime.

Who needs Employment Practices Liability insurance coverage most?

Any business that serves the public
Businesses with employees
Small businesses without HR support
Industries with high employee turnover

An EPLI policy could help with legal costs if your business is accused of:

Discrimination

A former employee files a lawsuit alleging they were fired because of age, race, age, religion, sex or disability.^**

Wrongful termination

A former employee alleges they were fired in retaliation for a whistleblower claim.

Harassment

An employee alleges derogatory verbal or physical behavior like jokes, slurs, comments or offensive pictures.

Privacy invasion

Confidential employee health information is leaked and an employee sues.

Failure to hire or promote

A well-qualified applicant sues after they weren’t hired claiming it was because of their disability.

ADA violation

A visually-impaired customer sues because your website does not accommodate screen reader software.

How much does EPLI insurance cost?

Employment Practices Liability coverage is available as an add-on to ERGO NEXT general liability insurance. General liability costs can start as low as $19 per month^† for some low-risk businesses. And the EPLI add-on starts at just $18 per employee per year.

Several factors influence your business insurance quote, including:

The type of work you do
Number of employees
Your claims history
Your work experience
The limits you choose
The state where you work

How to buy a General Liability insurance policy with EPLI insurance online

Start a free online quote

In about 10 minutes you’ll see the exact price you’ll pay for EPLI insurance online.

Customize your coverage

Adjust your policy limits and deductibles to pick the right coverage at the right price.

Buy 100% online

Your coverage is effective after payment. And your certificate of insurance can be shared at no extra cost.

Who needs EPLI business insurance?

Restaurants and food service

Restaurants, catering teams, bakeries and cafes can face high staff turnover and numerous customer interactions. EPLI could help protect against claims from customers or employees around harassment or discrimination.

Retail and e-commerce

Retailers and online sellers can employ seasonal teams. EPLI could protect you from claims for wrongful termination, unfair treatment or hiring disputes.

Offices and professionals

Professional services like accountants, business consultants and real estate agents can face claims tied to hiring, firing or discrimination. EPLI could help cover legal costs from employee or applicant lawsuits alleging unfair treatment or harassment.

Cleaners and janitorial businesses

Commercial cleaning companies, house cleaners and janitors often rely on small teams and frequent client contact. EPLI may help cover employment-related claims with staff.

Construction and contractors

Construction crews and contractors manage teams across job sites. EPLI can help cover claims tied to hiring, firing or employee treatment disputes.

What other types of business insurance do business owners need?

Just one type of business insurance won’t protect you from everything. Many business owners combine several types of coverage options to help cover more risk.

General Liability insurance

An EPLI policy is an optional add-on to general liability insurance coverage. This policy could also help cover injuries to people who are not employees and damage that your business causes to property that doesn't belong to you.

Commercial Property insurance

Commercial property insurance could help pay if your business property suffers damages by water, fire, wind or vandalism. It can also help cover business income after a covered event.

Workers’ Compensation insurance

Most states require workers’ comp if you have employees. It can help cover medical expenses and lost wages after an employee’s workplace illness or injury.

Professional Liability insurance (E&O insurance)

Professional liability insurance, also known as errors and omissions (E&O) insurance, could help protect your business from professional mistakes. It’s common for professional services such as consultants, real estate agents, accountants, IT professionals and more.

Employment Practices Liability insurance (EPLI) FAQ (frequently asked questions)

What can EPLI insurance cover?

Employment Practices Liability insurance, an add-on to a general liability policy, could help cover legal fees, defense costs, settlements or judgments if your business faces discrimination lawsuits from employees or customers.

Common EPLI claims include harassment, wrongful termination and discrimination from employees, former employees, prospective job applicants, vendors or other business partners, and the public. Some examples include:

Sexual harassment
Breach of employment contract
Negligent evaluation
Age discrimination
Failure to hire or promote
Wrongful discipline
Deprivation of career opportunity
Wrongful infliction of emotional distress
Mismanagement of benefits
Wrongful discipline or demotion
Invasion of privacy

Because EPLI coverage depends on your policy details, it’s important to review what’s included before you file a claim.

What’s not covered by Employers Practices Liability insurance?

EPLI generally does not cover employee claims related to:

Wage and hour disputes or unpaid overtime
Workers’ compensation or employee injury claims
Civil or criminal fines, including punitive damages
Bodily injury or property damage
Independent contractors or 1099 worker disputes
Equity compensation, stock options or benefit plan issues

These policies are written on a claims-made basis, meaning your insurance must be active when a claim is filed. Insurers typically require policyholders to maintain continuous coverage for protection to file a claim.

What's the difference between EPLI insurance coverage and Workers' Compensation insurance?

Workers’ comp insurance could help cover employee injuries or illnesses that happen on the job. EPLI insurance coverage could help protect your business from lawsuits related to workplace practices — like professional discrimination, harassment or wrongful termination — rather than physical injuries.

Compare EPLI with workers’ compensation insurance.

Does EPLI cover part-time or seasonal employees?

Depending on your policy, Employment Practices Liability insurance may help protect your business if part-time, seasonal or former employees file employment-related claims. Some policies may also extend coverage to job applicants or contract workers.

How do I make an EPLI insurance claim?

You can file a claim anytime online or in the NEXT app.

You’ll be asked to share the details of what happened and to provide relevant photos and documentation. We strive to make claims decisions as quickly as possible so that you can get back to work.

Learn how to file a claim.