Illinois Courts Construes EPL Coverage
In a case where the insured purchased a commercial package policy that included both CGL and Employers Practice Liability insurance coverage parts, the Appellate Court has ruled that once the cost of defending two defamation and retaliatory discharge claims exhausted the $100,000 EPL limit, the insured was not entitled to coverage under the CGL policy or the umbrella policy, as both policies contained EPL exclusions. In West Bend Mut. Ins. Co. v. Rosemont Exposition Services, Inc., No. 1-07-0644 (Ill. App. December 7, 2007), the court ruled that the defamatory statements were clearly work related so as to fall within the scope of the EPL exclusions.
