At Montgomery and Associates we are aware that larger estates require staff for maintenance and upkeep. Your personal assistant, a nanny, gardeners, pool cleaners or stable hands may make your life easier, but they also represent a large risk. These individuals could bring a lawsuit should your relationship take a turn for the worse.
Possible risk from household staff:
· Wrongful termination
· Privacy breaches
Our Private Client Specialist recommends the following two solutions when our clients engage in domestic staffing: workers compensation and an employment practices liability insurance. (EPLI)
In the event your domestic staff is injured while under your employment you may be responsible for the injuries the workers sustained as well as lost wages and/or death benefits due to the work related incident. In most legal jurisdiction, workers compensation is the only remedy available for the injured workers.
In the state of Tennessee, an employer that has five or more employees must secure workers’ compensation insurance coverage for their employees. Below five employees, coverage can be provided on a voluntary bases.
Employment Practices Liability Insurance
An employment practices liability insurance policy is going to cover the following staffing related issues:
· Wrongful Termination: EPLI policies cover claims of being wrongfully discharged.
· Harassment: EPLI covers charges of harassment, sexual or otherwise, brought against either employers or fellow employees.
· Discrimination: Whether a claim is based on race, color, creed, national origin, gender, age, religion, sex, marital status, sexual orientation, military service, pregnancy, disability or a handicap, EPLI policies protect against charges of employment-based discrimination.
· Additional claims: EPLI also protects against wage and hour defamation, invasion of privacy, mental anguish, emotional distress, assault, battery, breach of contract and negligence claims.
To learn more connect with a Montgomery and Associate Private Client Specialist today.
Back to Private Client Services Page