There is a broad spectrum of liabilities your company may face called Employment Related Practices Liability. Briefly, this coverage covers your firm for Wrongful Termination, Discrimination, and/or Sexual Harassment.
The Civil Rights Act of 1991 and the Americans With Disabilities Act have increased the awareness and conditions under which your employees can sue you. Because of these new laws, discrimination suits are becoming more common place. Settlement and award costs are skyrocketing. Even an unintentional violation of the laws could place your company in financial jeopardy.
This coverage can be written by its self or often included with your Directors and Officers Liability insurance.