Picture this: It’s your favorite time of year. The sun is shining, your practice is thriving, and you’re preparing for a well-earned vacation next week. Are you thinking, “Today is the perfect day to plan for discrimination allegations”? 

Probably not. 

As a dental practice owner, you’re constantly juggling responsibilities. You are practicing Dentistry and running a business!  You are shaping a practice where patients and employees can thrive, while managing appointments, budgets, equipment updates, and staff concerns. The last thing you want on your mind is a disgruntled employee or a patient threatening legal action. 

“Not today,” you think. 

“I’ll deal with that later.” 

But in the world of risk management, later can be a dangerous gamble. 

Something I learned early in risk management is that the worst time to buy fire insurance is when your house is already on fire. Similarly, the worst time to figure out your strategy for employment practice-related lawsuits is when a disgruntled employee storms out of your office, or worse, you've just been served with legal papers! 

As a wise man once said, “An ounce of prevention is worth a pound of cure.” But what does prevention look like when it comes to discrimination or harassment allegations in a busy dental office? 

It starts with recognizing how vulnerable any practice can be. 

Many dentists assume a lawsuit requires solid proof of real harm. Sometimes that is true. For example, defamation and malpractice cases often demand clear evidence. Even the burden of proving bodily injury and property claims starts with the plaintiff.  

Employment practice claims are different. Allegations that cost tens of thousands of dollars to dispute can be exaggerated or even completely false. These allegations can come in the form of a lawsuit, an EEOC complaint or a number of other regulatory actions. And the craziest part? These claims don’t come from employees only; they can arise from patients as well.  

Here are a few examples of common claim triggers: 

• Patient Allegations (Third-Party) 

• If a patient alleges you refused treatment because of race, religion, gender identity, or another characteristic, the burden of proof often shifts to you. You must prove that the allegation is not true.

• Employee Allegations (First-Party) 

• If an employee claims they were fired because of age, gender, disability, or a hostile work environment, you must provide strong evidence that your decisions were based on legitimate business reasons. 

In these cases, the truth alone is not enough. You need documentation, legal representation, and time, which all come with financial and reputational costs.  

This is where Employment Practices Liability Insurance (EPLI) becomes not just an option, but a non-negotiable safeguard for your dental practice. 

EPLI isn't a luxury; it's the only type of business insurance for dentists specifically designed to protect your practice against the devastating financial fallout of: 

• Discrimination Allegations: Claims based on race, gender, age, religion, disability, national origin, sexual orientation, and more. 

• Workplace Harassment Allegations: Claims of harassment, bullying, or creating a hostile work environment.

• Wrongful Termination: Allegations of unfair or illegal firing. 

• Failure to Address Complaints: Claims that management ignored or mishandled reports of misconduct. 

• Retaliation: Employees claiming adverse action after reporting issues (e.g., patient safety concerns, workplace misconduct). 

• Wage and Hour Disputes: In some specialty policies or with specific endorsements, EPLI can even cover defense costs for claims related to unpaid overtime or misclassification. 

A strong EPLI policy also gives you access to helpful risk management tools, such as: 

• Employee handbook reviews 

• Best practice guidance 

• Vulnerability assessments 

• Hotlines for real-time HR or legal support 

These resources can prevent claims or help contain them before they get worse. 

As with any important decision, there is no “one-size-fits-all” approach when it comes to protecting your Dental Practice. The right solution depends on several factors, some of which include: 

• Your current policies and procedures 

• How long your practice has been in operation 

• Whether it was a start-up or an acquisition 

• The number of employees and patients at your practice 

• Employee turnover and retention

• The litigation exposure in your region 

So where should you begin? Start by talking with your Advisor at CFS Dental Division to review the Employment Practices Liability coverage options that make the most sense for your situation. 

Whether the sun is shining or the rain is pouring, Employment practice lawsuits can drain a thriving dental practice. Legal fees, settlements, lost time, the emotional toll, and damage to your reputation can add up quickly, even when the allegations are completely baseless. 

The question is not whether your practice needs EPLI.  The question is whether you will have it in place before something goes wrong. 

You don’t want to let “later” become too late. 

Written by: Matthew Christy