Would you practice veterinary medicine without
malpractice or fire insurance? If you answered no—you should secure employment
practices liability (EPL) insurance immediately because it is just as
important to a practice owner. EPL coverage responds to allegations such as
wrongful termination, discrimination and sexual harassment. If you haven’t
checked out the PLIT-sponsored EPL Program yet, now is the time.
Discrimination
Current, former, or prospective employees may claim
they were victims of illegal employment-related discrimination such as:
- Pregnancy Discrimination
- Racial Discrimination
- Religious Discrimination
- Age Discrimination
- Disability
Discrimination
Sexual Harassment
Individuals may allege
that they were subjected to sexual harassment in the workplace.
Third
Party Liability
Coverage for claims alleging discrimination or
harassment brought by a third party against the practice or its employees is
available by endorsement for an additional charge.
Wrongful
Termination
An EPL policy will respond to allegations from an employee
claiming he or she could no longer tolerate the work environment and was
compelled to resign or retire.
Duty to Defend
With an EPL
policy, the insurance company has a duty to defend you against covered
allegations. Transfer your risk and the legal fees to the insurance
company.
Optional Punitive Damage Coverage Sublimit
Most EPL
policies exclude punitive damages.
Policy Enhancements*
*for employment practices liability policies underwritten by CNA through the AVMA PLIT program
Workplace Violence
This endorsement may provide coverage of up to $100,000 for fees and expenses incurred in connection with a Workplace Violent Act—i.e. if a practice owner or employee is the victim of deadly force or the threat of deadly force via display of a lethal weapon. Expenses may include a security consultant, PR consultant, counseling, security guard service and forensic analysis, depending on the situation.
Immigration
The immigration endorsement covers up to $100,000 in defense costs for covered immigration claims arising out of an actual or alleged violation of the Federal Immigration and Nationality Act.
Crisis Event Expenses
This endorsement may provide reimbursement for expenses related to a crisis event resulting from a wrongful employment practice. Crisis events usually occur if an executive is involved in wrongful employment practice, and the situation will likely result in a claim. Generally, expenses for such an event can include hiring an outside law firm, public relations firm, crisis management firm, or a forensic or security firm to manage press, publicity, etc.
Diversity Sensitivity Training
This endorsement may cover costs for diversity sensitivity training if the practice is obligated to conduct such training by reason of judgment, settlement or an alternative dispute resolution process, following a claim against the employer (if training is initiated and completed within 12 months of judgment).
All four of these endorsements are now automatically included in Employment Practices Liability policies underwritten by CNA through the AVMA PLIT program.
*All of the coverages referenced above are subject to the terms, conditions and provisions of the policy.