That is, all other things being equal, will the premium be any different between companies with a) only employees, b) only volunteers, and c) both employees and volunteers?
car253
Favorite Answer
You are charged the same whether they are volunteers or employees on your payroll. The same exposure is there.
Anonymous
No. It's not a rating factor. If you've got a volunteer based business, the exposure for epl claims is the same, whether or not you actually pay them.
If you tell the insurance company you have zero employees, but want Employment Practices Liability coverage, it's like telling them you want Bear Training LIability insurance, but you don't train bears. Clearly, YOU think there's a need for the coverage - therefore, there IS an exposure base.
And, as I'd mentioned before, having a business at the SIZE of requiring volunteers, and having ZERO payroll, is a major red flag for all sorts of underhanded things.