Employment Practices Liability Insurance

A form of liability insurance that protects against wrongful employment practices committed by the business entity, its employees, executive officers, directors, stockholders, members, and managers of a limited liability company.

The types of claims alleged under such policies include: wrongful termination, wrongful refusal to employ qualified applicants, wrongful failure to promote qualified employees, defamation of character which includes oral or written material that slanders or libels an employee, violation of an employee's right to privacy, harassment, coercion, or unfair discrimination. Even if the claim is frivolous, you may still be faced with expensive legal costs.