Why Do You Need Employment Practices Liability Insurance in Mississippi?
Protect Your Business from Employee Lawsuits
Did you know that you are at risk for an employment claim from the time you interview a prospective employee? Employment Practices Liability Insurance (EPLI) was designed to provide protection for employers from the wide range of claims that could be brought against them from employees crying foul. Discrimination (based on sex, race, age or disability), failure to promote, harassment, breach of contract, emotional distress and wrongful termination are just a few examples of the employment-related issues that could be raised against you. While large corporations typically have a protection strategy and some kind of EPLI in place, many small and medium business owners are unaware of these hidden problems until faced with expensive court battles that could shut down their operations.
An article in tempstaff.net drew attention to the importance of Employment Practices Liability Insurance for businesses of all sizes. We have summarized the 5 critical points that you must pay attention to:
- Every business that has employees needs this type of protection
- Coverage must fit business needs and size; EPLI is not a one-size-fits-all investment
- All employees, even part-time staff, should be covered by your EPLI plan
- EPLI coverage should include court proceedings as well as arbitration
- Consider additional coverage for privacy issues and to cover the umbrella emotional distress complaint.
Mississippi is among States with the Highest Employee Lawsuit Risk
While EPL insurance does not eliminate employee-related issues, it can help you avoid the catastrophic results of a potential lawsuit against the business you have worked so hard to build. The 2015 Hiscox Guide to Employee Lawsuits report about states with the highest risk (for 2014) put Mississippi at no. 4, stating that it was 39% more likely to receive a charge when compared to the average.
Hiscox’s representative study of 446 closed claims reported by small to medium-sized enterprises (SMEs) with fewer than 500 employees presented in the report also had some eye-opening findings.
- 19% of employment charges resulted in defense and settlement costs averaging a total of $125,000
- On average, these matters took 275 days to resolve
- Without EPL insurance, these companies would have been out of pocket by an extra $90,000 as the average self-insured retention (deductible) for these charges was $35,000.
Affordable Employment Practices Liability Insurance in Mississippi
Navigating the complex world of Employment Practices Liability Insurance and determining what to include or exclude from your policy can be overwhelming. The experienced brokers at The Nowell Agency have over 30 years of experience with business insurance. We will explain what policies are available and customize the best package for you. Our strong market position and access to a wide range of commercial insurance products enables us to offer you tailored coverage to meet your specific business needs. One of our brokers will be happy to discuss your options and provide you with competitive quotes for Employment Practices Liability Insurance in Mississippi.
Request a quote for employment practices liability insurance in Mississippi or call a location near you to schedule a meeting with a knowledgeable and experienced broker at The Nowell Agency. We have 7 offices in Mississippi to serve you.