The United States Equal Employment Opportunity Commission ("EEOC") reported that discrimination filings in the United States recently broke two substantial records. First, it received a record number of discrimination filings for 2010. The total number approached 100,000, as economic challenges and high levels of unemployment may have boosted the number of filings. In 2010, charges increased over 7% over 2009, and about 4.7% over 2008. 2008 had been the highest number of EEOC filings until 2010. EEOC filings have increased a staggering 21% since 2007.

Not only is the overall amount of charges record-breaking, but the types of charges have experienced a new trend in the last two years. Retaliation overtook racial discrimination as the most frequently alleged charge. 2010 had 36,258 retaliation filings, an increase of 35.9% since 2007. Prior to 2009, race had consistently been the most frequently alleged charge since the EEOC become operational in 1965. This new trend means that more employees felt that their employers mistreated them after a discrimination filing than employees who felt their employers discriminated against them in the first place due to race. It is important to note that charges of racial discrimination have also increased from 2009, but charges of retaliation have increased that much more.

Consistent with the increase reported by the EEOC, we at Ullico Casualty Group Inc. (“Ullico Casualty”) have seen a substantial increase in reported employment practices claims such as discrimination and retaliation, both covered in our Union Liability policy. In fact, our experienced claims experts handled a record number of these in 2010. We had an 18% increase in overall employment practices claims volume in 2010 compared to 2009 and a massive 39% increase since 2007.

While other carriers often exclude this critical coverage for retaliation due to employment practices, we at Ullico Casualty continue to protect the union workplace, just like we have done for over twenty-five years. Our Union Liability policy allows union leaders to confidently perform their jobs without worrying about personal exposure. We are a leading provider of Union Liability insurance, insuring almost 1,000 unions nationwide.

Following the EEOC trends and our own claims data, we can project that discrimination and retaliation charges may continue to rise. If local unions or labor leaders are charged with retaliation, how do they defend themselves? One uninsured employment practices liability claim can put a local union out of business. We suggest that union leaders review their insurance policies carefully with their insurance representatives. Is coverage currently in place? Is that coverage sufficient? Will it respond to the employment risks unique to your union?

For further information about Union Liability insurance, please contact your insurance representative or visit www.ullico.com/casualty to review a marketing flyer or download a specimen policy form.

Please see the following chart for specific EEOC charge statistics.



EEOC statistical data extracted from http://www.eeoc.gov/eeoc/statistics/enforcement/charges.cfm. Ullico Casualty Group Inc. is an affiliate of Ullico Casualty Company and both companies are subsidiaries of Ullico Inc., the holding company. Ullico Casualty Group Inc.: In CA, Ullico Insurance Agency Inc. Lic# 0E16939; in NY, Ullico Casualty Agency. Products may not be available in all states.