As reported by Jordan Kurkowski of AmWINS in The Edge and republished in CPCU Insights, these are the top eight trends in Employment Practices Liability Insurance (EPLI):
- COVID-19 is a developing event. Layoffs, remote work and return to work all create potential for claims including discrimination, harassment, invasion of privacy, negligent evaluation and possibly others.
- Black Lives Matter will impact employment and third party discrimination and harassment claims.
- #MeToo is driving an increase in sexual harassment claims and counter-claims.
- Equal pay laws and new prohibitions of inquiries about salary history.
- Gay and transgender claims of workplace discrimination.
- Age discrimination claims are growing with more older workers in the workplace.
- Wage and hour claims, with higher minimum wages and employee vs. independent contractor issues. (Wage and hour claims are usually excluded, with a sub-limit for defense.)
- Use of medical or recreational marijuana.
These trends are driving a hardening market, with 10-15% rate increases and placement problems with some classes (e.g. healthcare and hospitality) and states.
Although every organization with more than a few employees needs EPLI, reportedly only 23% of companies with less than 100 employees purchase it. Even among companies with over 1,000 employees only 40% have EPLI.
If your company does not have EPLI, Beacon can help you find a policy with the broadest terms and conditions.