EMPLOYEE CHARGE TRENDS ACROSS THE UNITED STATES
The 2015 Hiscox Guide to Employee Lawsuits
exposes the states with the highest probability
of employees filing lawsuits and looks at the
total cost of employee charges and litigation.
This report was compiled using the latest data
on employment charge activity from the Equal
Employment Opportunity Commission (EEOC)
and its state counterparts across the US.
Employment charges are often the first step
towards employment suits.
THE REAL COST OF
AGAINST SMALL- TO
A representative study of 446
closed claims reported by small- to
medium-sized enterprises (SMEs)
with fewer than 500 employees
showed that 19% of employment
charges resulted in defense and
settlement costs averaging a total
On average, those
matters took 275 days to resolve.
The average self-insured retention
(deductible) for these charges was
$35,000. Without employment
practices liability insurance, these
companies would have been out
of pocket by an extra $90,000.
Most employment matters don’t
end up in court, but for those
that do, the damages can be
substantial. The median judgment
is approximately $200,000, which is
in addition to the cost of defense.*
About 25% of cases result in a
judgment of $500,000 or more.
*Employment Practice Liability: Jury Award Trends and Statistics 2013 Edition, Thompson Reuters.