Selected Policy Features: |
Fiduciary policies protect the fiduciaries of employee benefit plans for sums which they become legally obligated to pay as a result of actual or alleged “wrongful acts” or breach of their fiduciary duties. The policy also provides coverage for defense expenses to defend a claim made against the fiduciary for an actual or alleged “wrongful act”.
- Duty to defend
- Broad definition of "wrongful acts"
- Broad definition of claim to include:
- Written demand
- Civil proceeding
- Criminal proceeding
- Formal administrative or regulatory proceeding
- Worldwide coverage
- Marital property extension
- Omnibus welfare plan coverage
- Civil penalties under sections 502 (I) and 502 (i) of ERISA included in definition of damages
- Defense coverage for claims seeking benefits due or injunctive or equitable relief in the U.S.
- No exclusion for:
- Failure to maintain insurance
- Failure to collect contributions
- Libel, slander, defamation
- Severability of exclusions and application
- Automatic coverage for:
- Sold plans
- Terminated plans
- Newly formed or acquired plans if plan assets are less than 10% of total plan assets
- Continued coverage for:
- Merged plans
- All plans for prior acts in the event of change in control
- Bi-lateral Discovery - upon termination or cancellation for any reason, other than non-payment of premium, the insured organization may purchase an Extended Reporting Period
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