Employment Practices Liability Insurance in New York

New York at a glance

Governing statute

NY State Human Rights Law

Covers employers of any size following amendments removing the prior size threshold.

Enforcement agency

NY State Division of Human Rights

Investigates complaints and can refer matters to an administrative hearing.

Training mandate

Annual sexual harassment training

Required statewide, with a written policy also required.

Added NYC layer

NYC Human Rights Law

Broader standard applied to employers with workers in New York City.

A state law that applies regardless of employer size

The New York State Human Rights Law (NYSHRL) was amended to extend most of its protections to employers of any size, meaning even a very small New York employer no longer falls outside its reach the way it might fall outside the federal Title VII threshold of 15 employees. New York City employers face a second, overlapping layer of protection under the New York City Human Rights Law, which courts have historically construed more liberally in favor of employees than either the state or federal standards.

For an employer operating both inside and outside New York City, this means a single personnel decision can be evaluated under two or three different legal standards depending on where the affected employee works.

Filing with the Division of Human Rights

Employees generally bring NYSHRL claims by filing a complaint with the New York State Division of Human Rights (DHR), which investigates and can hold a hearing before an administrative law judge, or by filing directly in state court for many types of claims. DHR complaints can also be cross-filed with the federal Equal Employment Opportunity Commission, and within New York City, employees have the added option of filing with the New York City Commission on Human Rights.

Because employees can often choose among several forums, New York employers should expect that the same set of facts could be litigated administratively, in state court, or in federal court depending on the employee's strategy.

New York-specific exposure notes

New York requires most employers to provide annual sexual harassment prevention training and to adopt a written sexual harassment prevention policy, and failure to do so can undercut an employer's defense in a harassment claim. New York also has an active wage-and-hour litigation climate, particularly around overtime and tip-credit practices in hospitality, and pay transparency requirements in job postings add another compliance layer that can generate claims when not followed consistently.

What EPLI covers and staying defensible

Employment practices liability coverage typically responds to defense costs and covered damages for discrimination, harassment, wrongful termination, and retaliation claims, subject to policy terms. Given the state's mandatory training requirement, New York employers should keep records of completed harassment training, a current written policy, and documented investigation steps for any internal complaint, since these records are often the first thing requested once a DHR or court proceeding begins.

Who we write this for in New York

Employment practices liability FAQs for New York