Employment Practices Liability
The number of employment-related lawsuits in Canada has been steadily increasing. Employment Practices Liability (“EPL”) coverage is critical in protecting you from the potentially catastrophic costs of employment litigation. EPL insurance protects against liability arising from employment practices with respect to claims by current, former or potential employees.
One cannot completely eliminate the possibility of an (EPL) lawsuit. But a company with solid employment practices, including an up-to-date set of Policies and Procedures and Employment Contract language is in an excellent position to defend itself in the event of employment litigation. The costs of defending employment related litigation could amount to significant costs. That’s why McLean Hallmark offers Employment Practices Consulting to ensure you are following current practices.
- discrimination (in hiring and employment)
- constructive dismissal, wrongful dismissal
- harassment (including workplace or sexual )
- wrongful failure to employ or promote
- wrongful discipline
- wrongful deprivation of a career-opportunity
- failure to grant tenure
- negligent evaluation
- invasion of privacy
- employment-related defamation
- wrongful infliction of emotional distress
- employment-related misrepresentation
- breaches of OH&S legislation
Key coverages and features:
Coverage is provided to the employer, its directors and officers and employees. Coverage can include amounts for judgments, settlements and defense costs; in some cases, punitive or exemplary damages may be covered as well.
Your McLean Hallmark broker will select an insurer and policy that includes a broad definition of insured and employee, as well as language to include a broad definition of subsidiary, claimants, and definition of wrongful employment . Coverage can also include protection against liability arising from a third party such as a customer, vendor, service provider or other business invitee of the organization for discrimination or harassment of an employee.
Which industries need EPL coverage?
Any organization in any industry that has Directors, Advisors or other outside non-employees involved in decision-making should be speaking with a McLean Hallmark broker to arrange proper coverage; the individuals you wish to have advise you will want to know your organization values them enough to protect them from personal liability for Employment Practices issues.