What is Employment Practices Liability insurance? (Overview of cover)

An Employment Practices Liability (EPL) policy covers the Insured company against its legal liability for unfair labour practices.

  • It will cover the Insured against awards made by the CCMA, Labour Court, Appeal Court and Bargaining Councils. This includes:
    • Back pay in the event of reinstatement
  • Cover includes legal defence costs which arise from the time the employee notifies the CCMA or Bargaining Council of a dispute.
    • Costs for running the company’s internal disciplinary hearing are not covered.
    • Cover includes the employee’s legal costs should the court make a costs award against the Insured.
  • Cover includes claims by past employees, current employees and job applicants.
  • Includes actions brought by temporary employees and contractors who claim to be employees.
  • Includes cover for out of court settlements (provided the Insurer agrees).
Employment Practices Liability