There are many types of insurance coverage that you need when running a company, and one that can get overlooked is fiduciary insurance. This type of coverage, a management liability insurance subtype, can provide a good deal of benefit to you and your company.
Adding to Your Current Plan
Many companies already have directors and officers (D&O) insurance, but D&O insurance does not cover everything. Fiduciary liability can help fill gaps in D&O coverage and ensure that you are protected from a broader range of risks.
Fiduciary insurance covers mismanagement of employee benefits plans. This can include actions such as mismanaging investments or charging excessive fees, as well as inactions such as neglecting to offer adequate investment options.
Benefits to You
As with other kinds of insurance, fiduciary coverage can help protect your money and your time. The number of lawsuits related to issues covered under fiduciary insurance are increasing over time, making this coverage more important now than ever.
In business, peace of mind comes with proper insurance coverage, and no coverage is complete without the addition of fiduciary insurance. This insurance coverages error or negligence related to your employee benefits plan, and can save you both time and money in the long run.