How EPLI Can Protect Your Small Business From Lawsuits
As a small business owner, you understand the true value that employees bring to your company. When it comes to protecting your business and team with Employers Practices Liability Insurance, (EPLI), many business owners have either never heard of the coverage or are quick to dismiss it. However, this can be a costly mistake to make. Take a look at what your small business should know about EPLI coverage.
Employment practices liability insurance is designed to protect your business against claims of discrimination, sexual harassment, and wrongful termination, as well as other employment-related suits. Believe it or not, but any prospective, current, or past employee can bring a lawsuit against your business, and many small businesses cannot afford the high costs of defending themselves legally. Regardless of whether the claim is true or not, the price tag of a lawsuit can be exorbitant. That’s where EPLI coverage steps in to help.
There are many different areas of potential employment practices issues. Here are some of them:
- Hiring and recruitment
- Offers of employment
- Training and orientation of new employees
- Performance reviews
- How company policies are enforced
Small Business Risk
Small businesses might be especially at risk of employment-related lawsuits because that have a smaller staff with limited or no HR department. It’s possible that the smaller, closer-knit staff may take layoffs and terminations personally, reflecting in them taking legal action.
No business owner expects an employee to come after their business legally, but it’s important that you are prepared nonetheless. Are you ready to secure EPLI coverage? For help getting started, talk to the team at UniVista Insurance Hialeah|Cutler Bay. We are happy to help protect your business.