Fidelity and Fiduciary Bonds

There are a whole host of compliance implications that accompany the process of assisting plan sponsors. We will help you ensure that each client understands their fiduciary responsibility, and manages it appropriately. This is an important form of insurance protection that covers policyholders and is required for every administrator, officer, and employee of any plan who handles funds or other property.

Fiduciaries share responsibility and are subject to standards of conduct because they act on behalf of participants in a retirement plan and their beneficiaries. Any owner or officer making decisions about a company’s 401(k) plan or other qualified employee benefit plans may be held personally liable for any breach of their responsibilities in managing employee benefit plans. With the additional focus on fiduciaries and their responsibilities for ERISA plans, many employers have questions about fiduciary liability insurance. While not required, ERISA section 410 allows a plan to purchase insurance for its fiduciaries or for itself covering any losses occurring from fiduciary breach.

Tycor has partnered with Colonial Surety Company, a leading provider of ERISA/Pension Fidelity Bonds. They are a national insurance company registered in all 50 states and all U.S. territories, providing insurance products since 1930. They are the largest direct seller of ERISA/Pension Fidelity Bonds in the U.S. You can get a quote or apply for immediate online issuance of a bond here.

Do you have questions about your fiduciary liability? Allow us to guide you in the right direction.