Executive liability is a key exposure for most technology companies. Leadership, the most visible segment of the business community, is under increasing scrutiny from regulators, investors and the media. This scrutiny has a profound impact on risk management strategies. Consequently, directors' and officers' liability insurance has become an operational and financial imperative for technology, pharmaceutical and chemical firms.

Protecting your directors and officers has never been more important in this climate of increased regulations, expanded guidelines and in-depth analysis of corporate governance.

D&O Liability Insurance is an errors and omissions type of coverage which protects directors and officers against claims for losses resulting from failure to do their jobs properly.

Employment Practices Liability Insurance

EPLI is Liability Insurance to help protect your business when there is an allegation stemming from discrimination, harassment or another type of wrongful occurrence in the course of employment that is in violation of federal, state or local law, common or statutory.

In technology industries corporate mergers, acquisitions, divestitures, and restructurings are often accompanied by employment terminations and changes in reporting relationships. Such upheaval often spawns numerous lawsuits. In addition, day-to-day human resource practices such as the promotion, discipline, and termination of employees also lead to litigation.

Who does EPLI Coverage Protect?

• The corporation and its subsidiaries
• Directors and Officers
• Employees and
• Occasionally coverage is provided for third party claims (i.e. by clients, customers, vendors, etc.).

Typical coverage under Employment Practices Liability Contracts includes:

• wrongful dismissal, discharge or termination of employment, either actual or constructive;
• harassment (including but not limited to sexual harassment);
• discrimination;
• retaliation;
• employment-related misrepresentation;
• employment-related libel, slander, humiliation, defamation or invasion of privacy;
• wrongful failure to employ or promote;
• wrongful deprivation of career opportunity, wrongful demotion or negligent employee evaluation;
• wrongful discipline;
• failure to grant tenure; or
• with respect to any of the foregoing: negligent hiring, retention, training or supervision, infliction of emotional distress, failure to provide or enforce adequate or consistent corporate policies and procedures, or violation of an individual’s civil rights.

Every EPLI insurer offers a different coverage contract.