Chubb has launched a new insurance product to enable companies to cover the financial expenses associated with employment-related lawsuits.
The new offering, called Chubb Primary Employment Practices Liability Insurance (EPLI), covers a range of scenarios such as wrongful termination, breach of contract, retaliation, and other work-related matters.
Chubb EPLI provides coverage against employment practices liability (EPL) claims brought by past, present, and prospective employees, and independent contractors.
With the new policy, the insurer also offers consultant services on loss prevention and free access to ChubbWorks to Chubb EPLI customers.
ChubbWorks is an online platform, which offers EPL loss prevention tools aimed at addressing and preventing employment and employee issues.
Chubb North America Financial Lines senior vice president EPL product manager Kristen Poplar said: “Employers are facing an increasingly dynamic employment liability environment, and any company can be targeted with an employment lawsuit.
“Even if the allegations are untrue, the employer still must defend itself against a charge of employment-related misconduct, which can be financially devastating, especially for smaller companies.”
Chubb noted that in 2020, the Equal Employment Opportunity Commission (EEOC) received nearly 70,000 discrimination claims against employers, with retaliation asserted in more than 55% of all charges received.
Earlier this month, Chubb joined hands with Betterfly to insure 100 million people in the Latin American region by 2025.
Through Chubb, Betterfly will provide insurance cover in Mexico, Colombia, Ecuador, Chile, and Argentina.