August 2, 2005 |
Posted By Diane Pfadenhauer |
EPLI Coverage (or not?)
Michael Fox, over at Jottings by an Employer's Lawyer, has an interesting summary of a case I've been hearing about regarding EPLI coverage (or lack of). Essentially, the Employment Practices Liability Insurance policy an employer obtained to cover it in instances of allegations of intentional discrimination, may not cover them after all due to an interesting interpretation of the language of the policy. Obviously, employers purchase such policies to protect against disparate treatment claims, which represent the majority of claims. Turns out the insurance company has successfully been able to weasel out (a highly technical term) of responsibility for the claim so far.