What is Fiduciary Liability Insurance?
As you take a look at all of the insurances you need to have in order to protect your business, you might come across some that aren’t as straight forward as some of the others. Fiduciary liability insurance is one of those more obscure insurance types.
In order to understand what this insurance helps protect, you first have to know what fiduciary means. Fiduciary involves trust. It normally regards the relationships between a trustee and a beneficiary. It can also be used in regards to an employer who offers benefits to their employees.
Did you know that when you offer your employees benefit plans or retirement plans you are also liable for how they are invested? That means that if the funds are mismanaged or invested poorly, you can get sued. The only way to protect yourself is to get fiduciary liability insurance.
This coverage has many protection options. You can get protected from legal costs, so if someone does sue you for mismanaging their funds you don’t have to pay for legal help. You can make sure that personal assets are protected–the personal assets of your business and of your employees.
You need to ensure that you are insured against everything. Make sure that you’re covered if an investment goes wrong. Don’t leave yourself open to lawsuits. Talk to an insurance agent today to find out how you can make sure that you are completely covered.