Employment Practices Liability Insurance & Disgruntled IT Employees

If you are in the Internet Technology (IT) business it is your employment practices liability insurance (EPLI) that safeguards your operation against the high cost of defending lawsuits due to claims by employees, or co-workers citing discrimination, harassment, wrongful termination, and other potentially devastating charges.

When everything is going well, the idea of having this type of policy may seem unnecessary, but the fact is that a seemingly harmless comment, or posting an offensive picture or cartoon up in the workplace can spark a controversy that results in someone, who feels violated or offended in someway, filing a claim against someone else at work.

People often view the same situation differently, and while one person may see nothing wrong in the way they were treated, another person given the exact same punishment, advice, or warning may view it as “crossing the line” between what is proper and acceptable and what isn’t.  If an individual feels that the environment at work is unacceptable, whatever the reason, this can be a hotbed for allegations that they were, in some way, mistreated.

Your EPLI can cover your business when one of your company’s leaders is accused of any of the following:

  • Wrongfully terminating employment or an implied contract
  • Wrongfully disciplining or demoting an employee
  • Sexually harassing an employee
  • Damaging an employee’s reputation due to slander or libel
  • Discriminating against someone based on age, gender, religion, race, or other factors
  • Breaching an employment contract
  • Causing emotional or mental distress
  • Invading an employee’s or prospective employee’s privacy, or
  • Making negligent decisions related to hiring, promotions, or compensation

Employment Practices Liability Insurance covers claims brought against your IT business by former, current, or prospective employees. When a question of violating legal protocols in the workplace comes up, you could face a devastating lawsuit. EPLI coverage ensures your business has the means to deal with lawsuits of this nature.

photo credit: Werner Kunz cc