Authored by Sara Weathers
Law firms are not immune to employment-related claims, and in many cases, they are increasingly targeted.
Employment Practices Liability Insurance is now considered essential coverage for firms of all sizes.
The Most Common Employment Liability Claims in Law Firms
1. Wrongful Termination
Departures tied to performance, partnership disputes, or restructuring can lead to allegations of retaliation or discrimination.
2. Discrimination & Harassment
Claims involving gender, age, or disability discrimination remain prevalent, especially in competitive environments.
3. Wage & Hour Disputes
Misclassification of employees or disputes over overtime eligibility can create unexpected liability.
4. Retaliation Claims
Whistleblower or internal complaint retaliation claims are increasing across industries, including the legal industry.
Why Law Firms Face Unique Risk
- Partnership track disputes
- High-pressure culture
- Close working relationships
- Billable hour expectations
Coverage Considerations
Review of whether your Employment Practices Liability policy includes:
- Third-party coverage (client allegations)
- Defense costs outside limits
- Coverage for partners and executives
- Access to HR advisory hotlines
A single employment claim can cost six figures to defend, even if the firm ultimately prevails.
