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Tag: EPLI

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Employment Practices Liability Insurance and Ex Post Moral Hazard

Erin E. Meyers, J.D./Ph.D., Program in Law and Economics, Vanderbilt Law School

Joni Hersch, Cornelius Vanderbilt Professor of Law and Economics, Vanderbilt Law School

Many businesses purchase Employment Practices Liability Insurance (EPLI), a form of insurance that protects them from claims of discrimination, harassment, retaliation, and wrongful termination. But critics of EPLI argue that allowing insurance coverage for employment liability detracts from employment law’s goal of deterrence and from notions of justice. We assess the validity of these criticisms…

Aug 2021