New York Employers: Are You Properly Protected? Can You Afford NOT To Know?
If you think your chances of being sued by any of your employees are on in a million...think again. The number of employment related lawsuits has steadily increased: In 2008 alone, the Equal Employment Opportunity Commission (EEOC) received over 95,000 charges, up 15% from 2007. Add to that the hundreds of thousands of employment claims filed in New York State and local agencies and the numbers are staggering.
What is Employment Practices Liability Insurance?
Employment Practices Liability Insurance is a type of insurance that will protect your business if you are sued for things like:
- Wrongful Termination
- Race Discrimination
- Sexual Harassment
- Age Discrimination
- Failure to hire/promote
Why You Need Protection
Even an organization with good human resources policies and procedures can be sued. Often, defending a claim is just as expensive as the settlement. It is not uncommon for legal fees associated with winning an employment lawsuit to exceed $250,000. The average attorney fees for these actions are in excess of $20,000. So even if you win, you lost!
Did you know that as an employer in New York State, you are subject to an ever widening collection of Federal, State and local employment laws such as The American With Disabilities Act, The Civil Rights Act, The Age Discrimination Employment Act just to name a few...
What does that mean to you?
It means that The Equal Employment Opportunity Commissions (EEOC) and your employees are becoming more aggressive in bringing lawsuits for sexual harassment, wrongful termination, unfair hiring practices and retaliatory treatment.
The average verdict in an EPLI lawsuit exceeds $150,000.
The truth is, the courts have decided the employee is almost always right. According to the Dept. of Labor, employees won 41% of all jury awards!
Here are a few Employment Practices Liability claim examples:
- An employees sued a company for "National Origin Discrimination" which prohibits employment discrimination based on race, color, religion, sex and national origin. The employee alleged that he was wrongfully terminated when he complained to his supervisors that co-workers had made disparaging remarks relating to his ethnic background. He won $250,000 in damages.
- Even non employees can sue. Here's an example when a 3rd party freelance contractor settled for $100,000 in damages when 2 employees made inappropriate comments about the physical appearance her.
- A plaintiff alleged that the insured discriminated against him on the basis of his age and disability. The plaintiff further alleged that he was terminated in retaliation for filing a workers compensation claim and for complaining about discrimination. The defendant contended that the plaintiff was not able to perform the essential functions of the job and that he was discharged for legitimate, non-discriminatory and non-retaliatory reasons. The insurance company paid $175,000 defending the case and $142,00 in settlement.
Do not delay, request a free quote above or fill out the form for your free report, "Top 10 Ways to Help Prevent Employment Practices Liability Claims" to make sure you and your business are protected!
The EPLI specialists at Brooks-Waterburn are waiting to review your file to make sure you're covered. We will build a fortress of protection around you and your business. Please fill out the form, or call us today! There's no time to waste.
Monetary awards are increasing each year. With attorney fees, even if you win, you lose! Nearly all employment claims are NOT covered by your Business Owner Policy, General Liability or Workers Compensation Policy.
There is a solution. Employment Practices Liability Insurance (EPLI) fills this significant gap in coverage. The coverage is surprisingly affordable and easy to place.
To help you get started, I have a free report for you. It contains tips on ways to help prevent EPLI claims. Fill the form out to get your free report titled, "Top 10 Ways to Help Prevent Employment Practices Liability Claims" or call us today at 888-997-9800