Employment Practices Quantified

Employment Practices Quantified is a powerful analytical tool that quantifies any combination of employment practices liability (EPL), wage and hour (W&H) and private or nonprofit directors and officers (D&O) loss potential. Insights from our proprietary data and analytics empower your organization to measure and predict risk, as well as provide the decision support needed to optimize your risk management budget and strategy.

Employment Practices Quantified is designed for all organizations: public, private or nonprofit. For public companies, the model focuses on EPL and W&H exposures. For privately-held and nonprofit organizations, the model not only incorporates the EPL and W&H analysis, but also quantifies D&O Liability exposures, creating the ability to evaluate any combination of these three risks.

Employment Practices Quantified's refined evaluation of your organization's comprehensive risk includes:

• Valuable insights beyond benchmarking into company-specific drivers of risk
• Dynamic and customizable technology, delivering instantaneous results
• Data-driven decision support that guides insurance strategy via comprehensive cost of risk (CCOR), limit adequacy, retention/deductible analysis and premium return on investment analysis
• Facilitation of optimal engagement in the insurance marketplace
• Concise and compelling output for efficient communication with internal stakeholders

Impact of Insurance

No insurance - Employment Practices Quantified Tool screen shot

With insurance - Employment Practices Quantified Tool screen shot

Why should you use Employment Practices Quantified?

• Better understand your EPL risk, including W&H exposure, relying on objective analysis into how often you will experience a claim and how costly your claims could be
• Keener insight into your private and nonprofit D&O liability based on a customized exposure profile
• Determine the best strategy to manage your risks and whether risk transfer is appropriate for your organization by enabling you to compare customized insurance strategies showing how well each protects you from loss and if each is a good value for the price
• Gives your corporate directors a better understanding of their exposure with explicit risk indications beyond benchmarking

For whom is it appropriate?

• Designed for all types of companies with more than 100 employees
• Assesses D&O exposure for private and nonprofit companies that have at least $5 million in annual revenue
• Does not analyze public company D&O exposure, which is addressed in D&O Quantified

What geographies does this tool support?

• Supports U.S.-based companies and the U.S.-based exposures of multinational companies

Severity (Size of Claims)

Likelihood of cost being less than the indicated value<
A 90% chance a single claimant incident will be less than a 298K loss.
A 99% chance a multiple claimant incident will be less than a 73M loss.

When should you use Employment Practices Quantified?

• When evaluating or renewing your employment practices liability and wage and hour coverage
• When evaluating or renewing your D&O liability coverage as a private or nonprofit company
• When determining how transactional changes such as mergers, acquisitions, restructures, reduction-in-force, or employee classification may impact your loss potential
• When optimizing your risk management expenses across your various insurance coverages

What can I do with information gained from Employment Practices Quantified?

• Assess your loss potential at any time to better understand your overall risk management strategy
• Drive insurance purchasing decisions and marketing strategies before engaging insurance markets
  
  • Design optimal insurance structures based on your company's unique risk profile
  • Proactively engage insurance markets by comparing quotes from carriers with financial decision support metrics such as value from insurance and premium return on investment
  • Gain critical support for optimizing insurance purchasing decisions to fully understand your potential to retain risk
• Provide senior managers and decision makers with more visibility using what-if scenarios, clarity on multiple and related exposures and explicit risk indications beyond benchmarking.

Comprehensive Cost of Risk (CCOR) - Employment Practices Quantified Tool screen shot