fiduciary

June 1, 2017

Why Do I Need Fiduciary Liability Insurance?

Fiduciary Liability Insurance What is Fiduciary Liability Insurance? Fiduciary Liability Insurance pays, on behalf of the insured, legal liability arising from claims for alleged failure to prudently act within the meaning of the Pension Reform Act of 1974. “Insured” is variously defined as a trust or employee benefit plan, any trustee, officer or employee of the trust or employee benefit plan, employer who is sole sponsor of a plan and any other individual or organization designated as a fiduciary. Group life and medical expense plans, as well as pension and retirement plans, are within the scope of the law. Two other types of coverage are related to fiduciary liability insurance. • Fidelity bonds are required by law (ERISA bonding). This is a form of insurance […]