5 Cities Insurance
Employment Practices Liability Insurance (EPLI) for California Employers
Employment practices liability insurance (EPLI) covers claims by employees, former employees, or applicants alleging wrongful employment acts — such as discrimination, harassment, wrongful termination, or retaliation. California employers face an active employment-law environment, which makes this coverage worth understanding.
Coverage line pending confirmation
This coverage line is shown for educational purposes. The agency is confirming its availability and authority before it is published as an offered line. Request a quote or ask a question and we will confirm what applies to your business.
Who may need this coverage
- Any employer with employees or hiring activity
- Businesses in California, where employment litigation is common
- Companies with formal HR processes and managers making personnel decisions
What it may cover
Coverage depends on policy wording, exclusions, limits, and underwriting. The following are commonly addressed, subject to the policy terms:
- Claims of discrimination, harassment, or retaliation
- Wrongful termination and discipline claims
- Defense costs for employment-related lawsuits
- Third-party harassment claims, where endorsed
Common exclusions and limitations
- Bodily injury — covered under workers' compensation or general liability
- Wage-and-hour claims, often limited or excluded
- Punitive damages, where not insurable by law
- Dishonest or criminal acts
Relevant optional endorsements
- Third-party coverage for non-employee harassment
- Wage-and-hour defense coverage, where offered
- Expanded insured definitions
Factors that may affect pricing
- Number of employees
- Turnover and HR practices
- Prior claims history
- Selected limits and deductible
Information typically needed to request a quote
- Employee count and organizational structure
- HR policies and practices overview
- Prior employment claims, if any
- Desired limits and deductible
A realistic example
Situation: A former employee files a lawsuit alleging wrongful termination and discrimination after a layoff.
How coverage may respond: EPLI can cover defense costs and a settlement or judgment, subject to the policy terms and deductible.
FAQ
Employment Practices (EPLI) questions
Explore Employment Practices (EPLI) for your business
Request a quote with this coverage preselected, or ask a coverage question.