Does General Liability Cover Wrongful Termination?
Generally no. Wrongful-termination allegations are employment-practices claims; check a separate EPLI policy for its insureds, exclusions, defense terms, and limits.
A former employee’s allegation that a termination was unlawful is not the ordinary bodily injury or property-damage claim contemplated by CGL Coverage A. The ISO specimen excludes certain bodily injury arising from employment-related practices, including termination, and Triple-I lists employment practices liability as a separate line. A CGL policy should not be assumed to fund defense or settlement of an employment suit.
EPLI terms vary in who qualifies as an insured, which claimants and acts are covered, how defense expenses affect limits, and which wage, benefit, or contract allegations are excluded. Check the policy’s notice deadline and any prior-acts or continuity conditions. If a claim arrives, notify the appropriate insurer promptly and preserve relevant employment records; coverage is determined by the policy wording and the facts.
Related Coverage
Sources
- Commercial general liability insurance. Insurance Information Institute; What commercial general liability insurance covers; Coverage A, B and C; Additional liability coverages to consider. Accessed 2026-09-25.
- Commercial Insurance Guide. California Department of Insurance; Commercial General Liability; Commercial Automobile; Workers Compensation; Commercial Property. Accessed 2026-09-25.
- Commercial General Liability Coverage Form, CG 00 01 12 07. ISO; specimen hosted by Hiscox; Coverage A I.A pp.1–5; Coverage B I.B pp.6–7; Who Is An Insured II pp.9–10; Limits III p.10; Conditions IV pp.10–12; Definitions V pp.12–16. Accessed 2026-09-25.
