Employment Practice

What is Florida Employment Practices Liability Insurance?
If you have employees, you are subject to liability claims stemming from their employment or possible employment. Employment Liability Practices Insurance (often referred to as “EPL” insurance) protects a company or organization against employee claims alleging damages due to employment-related issues. Most policies cover the employer, company directors and officers, and the employees for claims due to wrongful employment practices. The violation of federal and state legislation can result in expensive claims against your business, which are not covered by a commercial general liability policy. There are four specific laws that are the basis for employment-related claims:

  1. Title VII of the Civil Rights Act of 1964 prohibits discrimination of individuals on the basis of color, race, religion, gender, or national origin.
  2. The Age Discrimination in Employment Act of 1967 protects against discrimination of individuals who are forty years or older and applies to businesses with twenty or more employees.
  3. The Civil Rights Act of 1991 protects employees specifically from gender and racial discrimination. It also gives claimants the right to demand a jury trial.
  4. The Americans with Disabilities Act protects against discrimination of disabled individuals and requires an employer to make reasonable accommodations for a disabled employee. This regulation applies to businesses with fifteen or more employees.

What are some coverages provided by a Florida Employment Practices Liability Policy?
This type of policy varies, depending upon the carrier.  Most insurance companies have developed their own forms; specific coverages and definitions of coverage will vary among insurers.

Work-related acts that are commonly covered include:

  • Sexual harassment
  • Defamation
  • Invasion of privacy
  • Intentional infliction of emotional stress
  • Wrongful termination
  • Wrongful failure to hire or promote
  • Wrongful demotion
  • Wrongful discipline
  • Wrongful reassignment of duties
  • Failure to make reasonable accommodations
  • Wrongful hiring practices due to age or disability

What are some additional coverages provided by a Florida Employment Practices Policy?
EPL policies vary according to the company providing the coverage. The policies are written to cover specific causes of loss. EPL policies do not have many endorsements, since the insurance company designs the policy according to its own specifications. Many smaller organizations have a large Human Resources staff.  Often, insurance companies will provide risk management assistance, advice, and support to the HR departments of these businesses. They may also conduct seminars and distribute training materials concerning the prevention of wrongful employment practices.

Does a Florida Employment Practices Policy have deductibles?
Generally not, there are no deductibles.  Since policies do vary, you may inquire about deductible options.


This is a general description of an Employment Practices Liability Policy. It is not an explanation of your personal policy. You must refer to your own, individual policy to determine its coverage, definitions, limits, conditions and requirements.