What Is EPLI Insurance?

Employment practices liability insurance (EPLI) responds to certain claims alleging workplace wrongdoing, such as discrimination, harassment, wrongful termination, or failure to hire or promote. A covered claim may involve defense expenses and, depending on the form and applicable law, settlement or judgment amounts. It is a liability product; it does not replace workplace policies, legal advice, or workers’ compensation. The Insurance Information Institute describes standalone EPLI and package endorsements, and notes that package coverage may carry different limits and exclusions. Before buying, check who qualifies as an insured, which acts and claimants are covered, the claim definition, retroactive date, exclusions, retention, and whether defense expenses reduce the limit.