Fiduciary Liability

Fiduciary Liability protects against lawsuits brought by employees (plan participants) for losses resulting from the administration of any Employee Benefit Plan offered by the Company.
 

Sample Endorsement
Coverage Summary

Claims Examples
  • Two companies merge retirement plans after an acquisition. The acquiring entity does not offer the same self-directed retirement plan options as the bank it acquired, and makes investment decisions for participants who previously made their own. The acquiring entity transfers the funds to an investment that later fails to perform in the same manner as the initial investment, and the participants allege loss of potential investment gains.
  • A bank employee sues his employer bank for negligence and attempts to recover lost health-care benefits because the bank failed to enroll him in its medical plan.
Features
  • Available as a separate endorsement to the D&O Policy.
  • Includes $100,000 in Voluntary Correction Program Fees.
  • If coverage is purchased as a sublimit to the D&O Policy, a one-time reinstatement of the limit of liability for subsequent claims is provided at no additional charge.
  • Coverage is provided at a reduced retention.
 

Notwithstanding any language to the contrary, nothing contained herein constitutes nor is intended to constitute an offer, inducement, promise, or contract of any kind. All coverage descriptions and claims examples are provided for informational and educational purposes only and are not a representation as to coverage for any particular claim and are not represented to be error free. Coverage for any claim is determined upon the specific facts of the claim, the terms and conditions of the policy and applicable law. For details on the coverage provided by your specific contract of insurance, please refer to your policy. Coverage is subject to underwriting guidelines and may not be available in all states. Limits may be capped for underwriting reasons. Any links to any sites which are not originated by ABA Insurance Services Inc. (ABAIS) are provided only as a courtesy and are not intended to nor do they constitute an endorsement by ABAIS of the linked materials.