What it does
EP 21 01 removes coverage for employment-practices claims arising out of the operations described in its schedule. Underwriters use it to carve out a division, location or business activity they are not willing to insure.
It is an endorsement of ISO's stand-alone Employment-Related Practices Liability program and modifies the EPL coverage form (EP 00 01, or EP 00 02 where separate defense and indemnity limits are used). Forms lists show it available in most states, with state-specific versions where noted.
Who needs it
Applied to multi-operation employers where one operation has a poor history or unusual workforce exposure.
Quoting and selling notes
- Read the schedule with the client and identify which employees fall within the excluded operation.
- Seek separate coverage for the excluded operation if possible.
- Ask the underwriter what would allow removal at renewal.
