Typical claim scenarios:
Race discrimination – $305,000
A firm was sued for race discrimination in violation of the act which prohibits employment discrimination based on race, color, religion, sex and national origin. When the employee complained to his manager that other employees had made snide remarks about his background, he was terminated and filed a claim that he was terminated due to the color of his skin. He was awarded $225,000 in damages and the insurance company paid $80,000 in defense costs.
Multiple discrimination — $455,000
An advertising agency was sued by multiple employees, alleging discrimination and wrongful termination. Each employee had different allegations, however, they were all related to discrimination, such as age and disability, sexual orientation, and religion. The insurance company paid $85,000 in defense fees and settled for $375,000 in damages.
Risk Management resources:
With the substantial increase in Employment Practices claims up-to-date risk management education and resources are tools that every employer needs. Most insurance companies have online resources at no additional cost to you; many have a help-line to an attorney who specializes in employment law. These resources provide tools, such as ethics training, prevention training for workplace harassment, and web-based training for a multitude of employment issues.
