— The legal rules in Canada governing employee benefit plans are complex.
— You, as a fiduciary, can be held liable for losses to a benefit plan incurred as a result of alleged errors, omissions, or breach of their fiduciary duties.
— Protection from Chubb is available for every type of publicly held company – of any size in any industry.
Trustees of employee benefit plans have a duty to act in the best interests of their plan participants. They may even be held personally liable for the decisions they make. In today’s litigious environment, concerns about a benefits plan can quickly escalate into a lawsuit, which may cost millions of dollars to defend and settle. To help protect your company, fiduciaries, and the benefit plans they manage, Chubb provides Fiduciary Liability Coverage and has taken broad coverage to the next level with our new Fiduciary Liability Settlor Plus Endorsement.
With the Fiduciary Liability Settlor Plus Endorsement:
Broad definition of -
Insured – Includes committee
Plan - Includes any pension or welfare plan established anywhere in the world
Wrongful act – Includes acts, errors or omissions solely in an insured’s settlor capacity with resect to establishing, amending, terminating or funding a trust or plan.
Loss – Compensatory damages, punitive damages where insurable by law
Administration – advising, counseling or failing to provide proper or timely notice. Providing interpretations with respect to any benefit program. Handling of records or effecting enrollment, termination or cancellation.
Claim – Arbitation or mediation. Extradition with respect to criminal proceedings. Regulatory proceeding against an insured person fiduciary by an endorsement unit.
United States: Voluntary Settlement Program Coverage
Civil penalties imposed under the Pension Benefits Standards Act in Canada
60 days notice of non-renewal
Non –cancellable by Chubb except for non-payment of premium
Automatic coverage for newly acquired plans – 30% threshold
No imputation of knowledge from one insured person to another insured person
Up to $25 million
Our typical clients include public companies with employee benefit plans