Employment Practices Liability

Employment Practices Liability protects against Losses arising from Wrongful Employment Acts.  Wrongful Employment Acts are defined as any actual or alleged wrongful termination, discrimination, sexual harassment or certain other violations of statutory or common law relating to employment.

Sample Policy
Sample Endorsement
Coverage Summary

Claims Example
  • A bank begins to experience financial problems and as a result decides to downsize. The president writes a memo to the board stating that senior personnel should be terminated in order to make room for young, energetic people who do more work at a lower salary level. The 50-year-old operations officer, a 15-year employee, runs across the memo prior to leaving. He sues the bank for violations of the Age Discrimination in Employment Act seeking back pay, lost benefits, attorneys’ fees, and compensatory damages.
  • Coverage is available as a separate endorsement to the D&O Policy or as a separate limit of liability.
  • Losses covered include judgments, settlements, defense costs and punitive damages (where insurable by law).
  • Third Party Harassment coverage available (subject to underwriting).

All States except NY  
NY version  

Notwithstanding any language to the contrary, nothing contained herein constitutes nor is intended to constitute an offer, inducement, promise, or contract of any kind. All coverage descriptions and claims examples are provided for informational and educational purposes only and are not a representation as to coverage for any particular claim and are not represented to be error free. Coverage for any claim is determined upon the specific facts of the claim, the terms and conditions of the policy and applicable law. For details on the coverage provided by your specific contract of insurance, please refer to your policy. Coverage is subject to underwriting guidelines and may not be available in all states. Limits may be capped for underwriting reasons. Any links to any sites which are not originated by ABA Insurance Services Inc. (ABAIS) are provided only as a courtesy and are not intended to nor do they constitute an endorsement by ABAIS of the linked materials.