Fiduciary Liability

by evan » Sat Jul 08, 2006 06:04 am
Posts: 1276
Joined: 01 May 2005

Fiduciary Liability

Legal responsibility of a fiduciary to safeguard assets of beneficiaries. A fiduciary, for example a pension fund manager, is required to manage investments held in trust in the best interest of beneficiaries. Fiduciary liability insurance covers breaches of fiduciary duty such as misstatements or misleading statements, errors and omissions.

Total Comments: 3

Posted: Tue Oct 28, 2008 05:33 pm Post Subject: fiduciary liability insurance

Who offers this type of coverage?

Posted: Wed Oct 29, 2008 04:51 am Post Subject:

I know of AIG that is into this business. There may be other companies too who may offer coverage to the business owners to protect themselves against the liability actions for failing to fulfill their fiduciary duties.

~Jeremy

Posted: Wed Oct 29, 2008 05:34 am Post Subject:

Fidelity Bonds and Employee Benefit Liability Insurance are also related to the fiduciary liability insurance. The Fidelity Bonds are meant to provide protection when a dishonest administrator or trustee causes financial damage to the employee benefit plan. These are required by law under the ERISA bonding and are used only for the benefit of the plan and the beneficiaries.
The Employee Benefit Liability Insurance offers protection against the claims that arise out of the fault of the administration of a benefit plan.

I can add one other name to AIG that I came across. It is Axis Insurance Services. They provide Fiduciary Liability Insurance

Happy to help :)

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