Q: What is employment practices insurance?
— Busy Boss
A: Dear Busy,
An employment practices insurance policy provides protection for lawsuits initiated by your employees. While this is an often-overlooked coverage, it’s actually one of the most important, since employment claims are the one of the most serious threats to your business, even if you think you are the best boss ever.
In fact, studies show that nearly one in every five small businesses will get sued by a team member at some point in their lifecycle.
Before you sit down with an insurance agent, meet with a Personal Family Lawyer® with business planning expertise for an insurance audit. We will support you by evaluating the specific risks your company faces at each stage of growth to determine exactly what kind of insurance you need and what levels of coverage will best protect your business both now and in the future.