CTR074456_BRINC_-_Certificate_of_Insurance_Part_1_-_Expires_4-1-2025.pdf

2024 – 2025 EPL Insurance Summary

Policy Type: Employment Practices Liability Insurance

Claims Made & Reported

Carrier/Policy #: Federal Insurance Company (Chubb) #8262-9263

Insured: Sequoia One PEO, LLC

Policy Term: 4/1/2024 – 4/1/2025

Coverage Limit: $1,000,000 per claim maximum limit

$1,000,000 per client company maximum aggregate limit

All limits inclusive of defense costs.

Retention: All California Claims

$250,000 per insured event

All Other States except CA

$200,000 per claim brought by High Wage Earners

$150,000 per claim brought by non-High Wage Earners

High Wage Earners (HWE) are defined as those earning over $200,000 annually.

Client is responsible for paying all expenses that fall within the retention.

Panel Counsel: Fisher Phillips https://www.fisherphillips.com/

Use of other counsel is subject to Chubb’s approval. Failure to secure Chubb’s approval may impact coverage for defense costs and/or the claim.

What is a Claim?

A claim is a written demand or notice by a current/former employee or an applicant for employment (or their representative, including the EEOC or similar gov’t agency), alleging a wrongful act was committed by the Client Company. Typical severance/salary negotiations are not considered a claim without allegations of a wrongful act.

Wrongful Act can Include:

• Wrongful termination based on protected status

• Unlawful employment discrimination

• Sexual and other harassment

• Hostile working environment

• Retaliation on account of an employee exercising or attempting to exercise their rights under the law.

https://www.fisherphillips.com/

Written Demand or Notice can include:

• Notice of a civil, criminal, or arbitration proceeding for damages or relief

• Notice of an administrative proceeding commenced by the EEOC or other similar federal, state, or local governmental authority.

• Any correspondence from an attorney representing a current or former employee with allegations of a wrongful act(s), including draft complaints & lawsuits

• Written demand (including email) for monetary damages or relief

Key Items Not Covered:

• Violations of wage & hour laws, meal/rest breaks, the Fair Labor Standards Act.

• Claims brought by third parties such as independent contractors, customers/clients or vendors.

• Bodily injury / property damage.

Coverage Details:

Sequoia One PEO, LLC is the named insured on this policy. Coverage is extended to client companies via the CSA.

If you have your own EPL policy, Sequoia One’s policy will be excess for any covered claims. Your policy must be endorsed to state that it will be primary relative to the PEO’s EPL policy. However, if Sequoia One required that you purchase your own EPL policy via CSA addendum, there will be no coverage under Sequoia One’s EPL policy.

Coverage applies only for claims arising from acts or incidents that occur during the effective period of time on the Sequoia One PEO platform, not for anything that occurred or commenced prior to the inception date of services with Sequoia One PEO. Claims, including administrative actions such as EEOC complaints, must be noticed to Sequoia One while the CSA is in effect or there will be no coverage.

Claim Notification:

Pursuant to the CSA, you must provide Sequoia One PEO with notice immediately, but in no event, not more than three (3) business days after becoming aware of any notice, charge, litigation, draft charge, draft lawsuit, request for arbitration, or written demand involving staff, former staff or an applicant that could give rise to a claim under EPL Insurance.

There will be no coverage for claims reported to Sequoia One more than 30 days after receiving the written demand or notice.

Initial notice should be made via email to your Sequoia One HRBP and should include the written demand or administrative charge as an attachment. They will assist in connecting you to the appropriate parties to continue the claims process.

***This is a summary document only and does not alter or supplement the terms of the CSA or EPL Policy. Please reach out to your HRBP if you have additional questions***