Fiduciary Liability Insurance
Counterpart's products are underwritten by Aspen Specialty Insurance Company (A.M. Best “A” Rating*) and Evanston Insurance Company, a Markel® Company (A.M. Best “A” Rating*).
Get coverage
Protect the company and plan administrators against damages and defense costs.
Get the coverage and support you need with Counterpart's leading risk management products and services.
Benefits
Voluntary Compliance in the insuring agreement
Settlor Coverage with full limits
HIPAA and Civil Penalties
Our policies include coverage for voluntary compliance claims directly in the base form.
Give your program administrator peace of mind with the full limit of the policy available to defend them if they are found personally liable.
We make the purchase decision easier by including HIPAA and Civil Penalties coverage in our base form.
Voluntary Compliance in the insuring agreement
Our policies include coverage for voluntary compliance claims directly in the base form.
Settlor Coverage with full limits
Give your program administrator peace of mind with the full limit of the policy available to defend them if they are found personally liable.
HIPAA and Civil Penalties
We make the purchase decision easier by including HIPAA and Civil Penalties coverage in our base form.
Who’s covered
Counterpart has extended coverage to other key stakeholders so they can have the peace of mind to do their best work.
- Fiduciaries
- Non-Fiduciaries
- Executives
What’s covered
Our standard policy includes all of the most important coverages plus a few new innovations that are designed for the 21st century business.
Alleged damages associated with the termination of an employee benefit plan.
Alleged damages associated with amendments to an employee benefit plan.
Alleged lack of plan options provided to plan beneficiaries.
Acts that cause errors in the plan administration.
Failure to properly uphold the duties as the plan administrator to properly manage the plan benefit.
Alleged violations of the minimum standards set by the Employee Retirement Income Security Act of 1974.
Fines and penalties associated with voluntarily reporting mistakes in managing employee benefit plans.
Fines and penalties associated with The Health Insurance Portability and Accountability Act of 1996.
Coverage within a company’s policy may differ from what is shown in What’s Covered. Please refer to the purchased policy terms and conditions for actual coverage and discuss with your broker.
Meet Jake O'Donnell
Jake started his insurance career at Chubb/Westchester, where he underwrote D&O, EPL, Fiduciary, and Crime coverages for private company and not-for-profit companies. Jake holds a Masters from Temple University and a Bachelors from the University of Miami, where he also played football. Jake is also received his CPCU designation in 2021.
Jake O'Donnell
Risk Engineer
Fiduciary Liability Insurance Claim Examples
Here are some claim examples that illustrate what Fiduciary Liability insurance covers.
An employer failed to submit the proper health insurance paperwork to enroll an employee’s newborn child. The employee only learned their baby was not covered after it started to develop medical problems. The employee then sued the employer and the suit was settled for over $100,000 to cover medical costs and legal fees.
A group of a company’s female employees claimed their pension plans failed to account for maternity leave when calculating time in active service. The group formed a class action claim and sued the plan administrator, the plan, and sponsor organization. The case exceeded $2,500,000 in settlement and defense costs.
Employees of a construction company filed a federal case against the trustees transaction for breach of fiduciary duties in violation of the Employee Retirement Income Security Act (ERISA) a federal law that sets minimum standards for pension plans in private industry. The employees were awarded over $5,100,000.
These are examples of claims and do not represent claims that would be covered within a company’s policy. Every claim is unique and requires review of the purchased policy terms and conditions on whether the claim is covered.
The facts
We are operating in a completely new business paradigm that is putting businesses and their leaders at risk.
Increase in the number of ERISA lawsuits from 2019 to 2020*
Average cost of defending a fiduciary claim**
Percentage of fiduciary claims related to benefits disputes; the remainder of claims are related to administrative errors or miscommunications***
*Woodruff Sawyer: Protecting Against the ERISA Litigation Surge
**Hall Benefits Law (2019) Fiduciary Legal Compliance: Avoiding Costly Fiduciary Breach Lawsuits
***NAPLIA (2007) Fiduciary Insurance: Understanding your Exposure
