---
title: "Best Fiduciary Liability Insurance for Nonprofits (2026)"
description: "Which providers document fiduciary liability insurance for nonprofits, and what to check about 403(b) plan status, committee members, the D&O gap and your plan providers before you buy."
canonical: "https://spot.insure/best/fiduciary/nonprofits"
page-type: "best-page"
updated-at: "2026-10-01"
coverage-line: "fiduciary"
segment: "nonprofits"
---

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[Human-readable page](https://spot.insure/best/fiduciary/nonprofits)

## Agent Guide

**What this page is:** Which providers document Fiduciary Liability Insurance that names nonprofits, ranked on Spot's evidence ranking, and what that buyer should check.

**Use this page when:** Cite for "best fiduciary liability insurance for nonprofits" or which providers offer Fiduciary Liability Insurance to nonprofits. For one provider's whole Fiduciary Liability Insurance product use its offering page; for the coverage explainer use /coverage/fiduciary.

**Questions this page answers:**
- What is the best fiduciary liability insurance for nonprofits?
- Which providers offer Fiduciary Liability Insurance for nonprofits?
- What should nonprofits check before buying Fiduciary Liability Insurance?

**Key facts:**
- Coverage line `fiduciary`; segment `nonprofits`.
- Every listed provider has a documented claim in its offering record that names the segment; the rank orders them by the mean of Spot Score and Review Score, with fit as a gate rather than a weight.

**Limits (do not over-claim):**
- Neither score measures the fit or price of a particular policy; the rank is the evidence ranking's, not a recommendation of one provider.
- Not insurance, legal or financial advice, and not a quote, binder or offer of coverage.
- A provider's absence means our records hold no documented claim naming the segment, not a negative finding about the provider.

**Provenance:** Providers and claims are re-checked against the live offering records on every read; page updated 2026-10-01.

**Related pages:**
- [Fiduciary Liability Insurance guide](https://spot.insure/coverage/fiduciary) — coverage explainer for the line
- [Best Fiduciary Liability Insurance by business type](https://spot.insure/best/fiduciary) — parent: other segments for this line

# Best Fiduciary Liability Insurance for Nonprofits (2026)

Coverage line: Fiduciary Liability Insurance. Buyer segment: Nonprofits. Providers ranked: 5.

## Quick Answer

A nonprofit that sponsors a 403(b), 401(k) or health plan has fiduciaries, and ERISA makes them personally liable for plan losses. First find out whether your 403(b) is subject to ERISA, then check that the policy covers the plans you sponsor, every committee member, and the gap a nonprofit D&O policy leaves. [1](https://www.irs.gov/retirement-plans/irc-403b-tax-sheltered-annuity-plans "403(b) Plans: Basics") [3](https://www.law.cornell.edu/uscode/text/29/1109 "29 U.S. Code § 1109 Liability for breach of fiduciary duty") [4](https://www.hiscox.com/documents/brokers/management/NFP_P002_Not-for-Proft_Management_Liability_DandO_Coverage.pdf "Management Liability Insurance Policy: Directors & Officers Liability Coverage Part (NFP P002 CW 03/09)")

5 providers document Fiduciary Liability Insurance for nonprofits. Markel Insurance, The Hartford and Travelers rank highest on Spot’s evidence ranking.

## Which Providers Document Fiduciary Liability Insurance for Nonprofits?

| Rank | Provider | Fit | Spot Score | Review Score |
| --- | --- | --- | --- | --- |
| 1 | [Markel Insurance](https://spot.insure/insurance-providers/markel/fiduciary) | Related mention | 7.1 / 10 | 7.5 / 10 (2 rated sources) |
| 2 | [The Hartford](https://spot.insure/insurance-providers/the-hartford/fiduciary) | Named for Nonprofits | 7.3 / 10 | 4.9 / 10 (5 rated sources) |
| 3 | [Travelers](https://spot.insure/insurance-providers/travelers/fiduciary) | Named for Nonprofits | 6.1 / 10 | 4.8 / 10 (3 rated sources) |
| 4 | [CNA](https://spot.insure/insurance-providers/cna/fiduciary) | Named for Nonprofits | Not rated | 9.0 / 10 (1 rated source) |
| 5 | [Alliance Risk](https://spot.insure/insurance-providers/alliance-risk/fiduciary) | Named for Nonprofits | 5.8 / 10 | No review score |

### 1. Markel Insurance

Spot Score basis: Carrier & MGA Spot Score · Assessed 2026-09-29 · Markel Insurance Company (NAIC 38970, Illinois-domiciled) as an admitted U.S. commercial insurer, including its workers' compensation and….

- Markel lists fiduciary liability for private companies, nonprofits and individuals managing employee benefit plans. [7](https://www.markel.com/us/commercial/professional-and-management-liability/management-liability/private-and-nonprofit "Private and Nonprofit Management Liability Insurance") (Evidence: Company-reported; scope: U.S. private/nonprofit product page; not a fidelity bond.)

Full page: [Markel Insurance Fiduciary Liability Insurance](https://spot.insure/insurance-providers/markel/fiduciary).

### 2. The Hartford

Spot Score basis: Carrier & MGA Spot Score · Assessed 2026-09-23 · The Hartford's US property-and-casualty carrier activity at named insurer level, centered on Hartford Fire Insurance Company and related….

- The Hartford's fiduciary liability coverage is available to nonprofit organizations, publicly traded companies and privately-held companies as part of its management-liability lineup. [6](https://www.thehartford.com/management-liability-insurance "Management Liability Insurance") (Evidence: Company-reported; scope: Management liability product page as read 2026-09-23.)

Full page: [The Hartford Fiduciary Liability Insurance](https://spot.insure/insurance-providers/the-hartford/fiduciary).

### 3. Travelers

Spot Score basis: Carrier & MGA Spot Score · Assessed 2026-09-23 · The Travelers Indemnity Company and Travelers Casualty and Surety Company of America, with California insurer authority checked. Travelers….

- Travelers markets fiduciary liability coverage to financial institutions, nonprofit organizations, private companies and public companies. [8](https://www.travelers.com/business-insurance/professional-liability-insurance/fiduciary-liability "Fiduciary Liability Insurance") (Evidence: Company-reported; scope: Product page "Who is fiduciary liability insurance right for?" section.)

Full page: [Travelers Fiduciary Liability Insurance](https://spot.insure/insurance-providers/travelers/fiduciary).

### 4. CNA

- CNA states its fiduciary offering is written for public, private and nonprofit organizations. [9](https://www.cna.com/sites/default/files/assets/4aa227df-6712-403a-8b0a-df219c0f8cc3/CNA-Epack3-Fiduciary-SS.pdf?ContentCache=NONE&MOD=AJPERES "Fiduciary Liability | CNA") (Evidence: Company-reported; scope: Entity: CNA brand; issuing company varies by form/state Product: Epack 3 Fiduciary Liability Jurisdiction: United States Research source scope: U.S. employee-benefit/retirement-plan fiduciary liability under Epack 3; not ERISA fidelity bond Claim limitation: Subject to underwriting and policy terms. Source/date qualification: Fiduciary sheet dated 20251218 / ©2025; it is a marketing summary, not the issued policy form.)

Full page: [CNA Fiduciary Liability Insurance](https://spot.insure/insurance-providers/cna/fiduciary).

### 5. Alliance Risk

Spot Score basis: Broker Spot Score · Assessed 2026-09-22 · Alliance Risk Insurance Services LLC, the subsidiary agency named in Alliance's terms and the single licensee of record under National….

- Alliance Risk targets fiduciary liability coverage at any employer sponsoring a 401(k), defined benefit pension or health plan, including multi-employer and union plans, nonprofits, sole proprietors and partnerships with plans, and professional groups managing partner retirement plans; it says even plans fully outsourced to a TPA still need fiduciary coverage because the sponsor retains oversight liability. [5](https://joinalliancerisk.com/fiduciary-liability-insurance/ "Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan") (Evidence: Company-reported; scope: Fiduciary liability product page; eligibility for a particular company depends on underwriting.)

Full page: [Alliance Risk Fiduciary Liability Insurance](https://spot.insure/insurance-providers/alliance-risk/fiduciary).

## How Did Spot Rank Fiduciary Liability Providers for Nonprofits?

Spot lists a provider only when its published Fiduciary Liability Insurance information includes a documented claim (verified or company-reported) about eligibility, role, coverage or application that mentions nonprofits. “Named for Nonprofits” marks a provider’s own statement of who it serves; “Related mention” marks a role, coverage or application claim.

Providers with both a Spot Score and a Review Score rank first, then providers with one of the two, then providers with neither. Within each group the order is the equal-weight average of the scores the provider has, as in the industry guides; ties break on fit, then the number of documented claims, then name.

The Spot Score comes from Spot’s reliability assessments and the Review Score from the provider’s rated review sources. Neither measures whether a policy fits your business or what it costs.

Spot, a product of Tools for Enlightenment, publishes this research and works in the commercial insurance market. [Editorial policy](https://spot.insure/editorial-policy).

## What Do Nonprofits Need From Fiduciary Liability Insurance?

Start with your plan's ERISA status. The IRS says 403(b) plans are offered by public schools and certain 501(c)(3) organizations and work like a 401(k). Plans that are subject to ERISA must meet fiduciary obligations, while governmental plans, non-electing church plans and other 403(b) plans that meet the Department of Labor's safe-harbor requirements are not subject to ERISA. Ask your plan provider or counsel which describes yours. [1](https://www.irs.gov/retirement-plans/irc-403b-tax-sheltered-annuity-plans "403(b) Plans: Basics")

The people who run the plan are the fiduciaries. The Department of Labor says that where an employer uses an internal administrative committee or HR department, the officials with discretion over the plan are its fiduciaries, and that all fiduciaries have potential liability for their co-fiduciaries' actions, for example if they knowingly take part in a breach, conceal it, or fail to correct it. ERISA makes a fiduciary who breaches their duties personally liable to make good the plan's losses. [2](https://www.govinfo.gov/content/pkg/GOVPUB-L40-PURL-LPS101708/pdf/GOVPUB-L40-PURL-LPS101708.pdf "Meeting Your Fiduciary Responsibilities") [3](https://www.law.cornell.edu/uscode/text/29/1109 "29 U.S. Code § 1109 Liability for breach of fiduciary duty")

Nonprofit D&O will not cover plan claims. In the D&O coverage part of a carrier's not-for-profit specimen, claims for violating duties imposed by ERISA are excluded. One insurer says the same of D&O generally: it covers claims about company management, not plan administration. [4](https://www.hiscox.com/documents/brokers/management/NFP_P002_Not-for-Proft_Management_Liability_DandO_Coverage.pdf "Management Liability Insurance Policy: Directors & Officers Liability Coverage Part (NFP P002 CW 03/09)") [5](https://joinalliancerisk.com/fiduciary-liability-insurance/ "Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan")

## Which Fiduciary Liability Exposures Do Nonprofits Face?

Most claims are about process, not misconduct. One insurer lists excessive-fee suits, imprudent investment selection, failure to monitor fees and performance, plan-interpretation disputes and fee-disclosure failures as common claim types, and says many turn on whether fiduciaries documented how they selected and monitored investments. Another insurer's example is an employee whose medical bills went unpaid under a benefit plan. [5](https://joinalliancerisk.com/fiduciary-liability-insurance/ "Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan") [6](https://www.thehartford.com/management-liability-insurance "Management Liability Insurance")

Health and welfare plans count too. One insurer says its fiduciary cover is designed for private companies, not-for-profits and individuals managing employee benefit plans, and applies to claims of mismanagement, administrative errors or breach of duty tied to retirement plans, health benefits and other welfare programs. [7](https://www.markel.com/us/commercial/professional-and-management-liability/management-liability/private-and-nonprofit "Private and Nonprofit Management Liability Insurance")

Outsourcing leaves you exposed. The Department of Labor says hiring a service provider is itself a fiduciary function and that an employer who appoints an investment manager must monitor it. One insurer says even fully outsourced plans need fiduciary cover because the sponsor keeps liability for selection and oversight. [2](https://www.govinfo.gov/content/pkg/GOVPUB-L40-PURL-LPS101708/pdf/GOVPUB-L40-PURL-LPS101708.pdf "Meeting Your Fiduciary Responsibilities") [5](https://joinalliancerisk.com/fiduciary-liability-insurance/ "Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan")

Theft is a bond question, not a fiduciary claim. The same insurer says employee dishonesty such as theft or embezzlement is not covered by fiduciary liability, and that an ERISA fidelity bond protects the plan from it, while the policy defends the people who manage the plan. [5](https://joinalliancerisk.com/fiduciary-liability-insurance/ "Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan")

## What Should Nonprofits Check Before Buying Fiduciary Liability Insurance?

Name every plan and ask whether each is covered. List your 403(b), any 401(k), the health plan and any other benefit plan, including any plan you believe is exempt from ERISA, and get written confirmation of which plans the quote treats as covered. One insurer asks for plan type, participants, assets and whether you hold an ERISA fidelity bond before it quotes. [1](https://www.irs.gov/retirement-plans/irc-403b-tax-sheltered-annuity-plans "403(b) Plans: Basics") [5](https://joinalliancerisk.com/fiduciary-liability-insurance/ "Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan")

Ask who is insured. If a staff committee, a finance committee or board members make plan decisions, ask that each of them is an insured under the fiduciary policy, not only under the D&O policy. The Department of Labor's guidance treats the officials with discretion as the fiduciaries. [2](https://www.govinfo.gov/content/pkg/GOVPUB-L40-PURL-LPS101708/pdf/GOVPUB-L40-PURL-LPS101708.pdf "Meeting Your Fiduciary Responsibilities")

Show your process. One insurer says dedicated investment committees get better rates than ad hoc HR oversight, and that prior claims or Department of Labor audits raise costs. The Department says to document how you select and monitor providers. Bring minutes, fee reviews and provider selection records to the quote. [2](https://www.govinfo.gov/content/pkg/GOVPUB-L40-PURL-LPS101708/pdf/GOVPUB-L40-PURL-LPS101708.pdf "Meeting Your Fiduciary Responsibilities") [5](https://joinalliancerisk.com/fiduciary-liability-insurance/ "Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan")

## What Do Nonprofits Ask About Fiduciary Liability Insurance?

### Do Nonprofits Need Fiduciary Liability Insurance?

ERISA does not require it, according to one insurer, which says ERISA requires only a fidelity bond for plans with plan assets. But fiduciaries are personally liable for breaches, so many sponsors buy it. Ask your broker which plans and which people a quote would cover. [3](https://www.law.cornell.edu/uscode/text/29/1109 "29 U.S. Code § 1109 Liability for breach of fiduciary duty") [5](https://joinalliancerisk.com/fiduciary-liability-insurance/ "Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan")

### Is a 403(b) Plan Subject to ERISA for Nonprofits?

Not always. The IRS says 403(b) plans that are subject to ERISA must meet fiduciary obligations, while governmental, non-electing church and other 403(b) plans that meet the Department of Labor's safe-harbor requirements are not subject to ERISA. Confirm your plan's status with your provider or counsel. [1](https://www.irs.gov/retirement-plans/irc-403b-tax-sheltered-annuity-plans "403(b) Plans: Basics")

### Does D&O Insurance Cover Retirement Plan Claims for Nonprofits?

Usually not. A carrier's not-for-profit D&O specimen excludes claims for violating duties imposed by ERISA, and one insurer says D&O covers management decisions, not plan administration. Ask for fiduciary cover on its own. [4](https://www.hiscox.com/documents/brokers/management/NFP_P002_Not-for-Proft_Management_Liability_DandO_Coverage.pdf "Management Liability Insurance Policy: Directors & Officers Liability Coverage Part (NFP P002 CW 03/09)") [5](https://joinalliancerisk.com/fiduciary-liability-insurance/ "Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan")

### Does Outsourcing Plan Administration Remove Fiduciary Exposure for Nonprofits?

No. The Department of Labor says hiring a service provider is itself a fiduciary function and that you must monitor the providers you appoint. Keep records of how you chose and review them. [2](https://www.govinfo.gov/content/pkg/GOVPUB-L40-PURL-LPS101708/pdf/GOVPUB-L40-PURL-LPS101708.pdf "Meeting Your Fiduciary Responsibilities")

## Related Pages for Fiduciary Liability Insurance for Nonprofits

- [Best Fiduciary Liability Insurance for Startups](https://spot.insure/best/fiduciary/startups)
- [Best Crime Insurance for Nonprofits](https://spot.insure/best/crime/nonprofits)
- [Best D&O Insurance for Nonprofits](https://spot.insure/best/directors-officers/nonprofits)
- [Best Employment Practices Liability Insurance for Nonprofits](https://spot.insure/best/employment-practices/nonprofits)
- [Best Management Liability Insurance for Nonprofits](https://spot.insure/best/management-liability/nonprofits)
- [Coverage Guide: Fiduciary Liability Insurance](https://spot.insure/coverage/fiduciary)
- [All Best Fiduciary Liability Insurance Pages](https://spot.insure/best/fiduciary)

## Sources for Fiduciary Liability Insurance for Nonprofits

1. [403(b) Plans: Basics](https://www.irs.gov/retirement-plans/irc-403b-tax-sheltered-annuity-plans). Internal Revenue Service; Opening description; set up a 403(b) plan step 3 (ERISA) and step 4 (other obligations). Accessed 2026-10-01.
2. [Meeting Your Fiduciary Responsibilities](https://www.govinfo.gov/content/pkg/GOVPUB-L40-PURL-LPS101708/pdf/GOVPUB-L40-PURL-LPS101708.pdf). U.S. Department of Labor, Employee Benefits Security Administration (GovInfo copy); Who are fiduciaries; Limiting Liability (Other Plan Fiduciaries); Hiring a Service Provider; Monitoring a Service Provider. Accessed 2026-10-01.
3. [29 U.S. Code § 1109 Liability for breach of fiduciary duty](https://www.law.cornell.edu/uscode/text/29/1109). Legal Information Institute (Cornell Law School), U.S. Code; (a) personal liability of a fiduciary. Accessed 2026-10-01.
4. [Management Liability Insurance Policy: Directors & Officers Liability Coverage Part (NFP P002 CW 03/09)](https://www.hiscox.com/documents/brokers/management/NFP_P002_Not-for-Proft_Management_Liability_DandO_Coverage.pdf). Hiscox specimen; D&O Coverage Part exclusion J (ERISA and other statutory duties). Accessed 2026-10-01.
5. [Fiduciary Liability Insurance: Protecting the People Who Manage Your Plan](https://joinalliancerisk.com/fiduciary-liability-insurance/). Alliance Risk; Common Fiduciary Liability Claim Types; What Fiduciary Liability Insurance Does NOT Cover; Fiduciary Liability vs. ERISA Fidelity Bond; Cost; What We Need for Your Quote; FAQs. Accessed 2026-10-01.
6. [Management Liability Insurance](https://www.thehartford.com/management-liability-insurance). The Hartford; Fiduciary Liability Insurance (example of unpaid medical bills under a benefit plan). Accessed 2026-10-01.
7. [Private and Nonprofit Management Liability Insurance](https://www.markel.com/us/commercial/professional-and-management-liability/management-liability/private-and-nonprofit). Markel; Fiduciary liability. Accessed 2026-10-01.
8. [Fiduciary Liability Insurance](https://www.travelers.com/business-insurance/professional-liability-insurance/fiduciary-liability). Travelers. Accessed 2026-09-23.
9. [Fiduciary Liability | CNA](https://www.cna.com/sites/default/files/assets/4aa227df-6712-403a-8b0a-df219c0f8cc3/CNA-Epack3-Fiduciary-SS.pdf?ContentCache=NONE&MOD=AJPERES). CNA. Accessed 2026-09-28.

## How to Cite Fiduciary Liability Insurance for Nonprofits

Best Fiduciary Liability Insurance for Nonprofits (2026). Spot, updated 2026-10-01. https://spot.insure/best/fiduciary/nonprofits. Quote a provider’s claim with its numbered source.

Updated 2026-10-01.

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