Founder Shield vs Travelers: How Do They Compare for Fidelity Bonds?

Founder Shield brokers ERISA fidelity bonds for plan sponsors and fiduciaries and explains statutory requirements. Travelers offers ERISA fidelity coverage for benefit plans against fraud or dishonesty by people handling plan funds.

Founder Shield brokers ERISA fidelity for plan sponsors and restates the 10% statutory amount. Travelers lists ERISA fidelity covering theft, embezzlement and forgery by people who handle plan funds, sold through independent agents. ^2,^1,^4,⁵

What Are the Key Differences Between Founder Shield and Travelers Fidelity Bonds?

Broker Placement Versus a Travelers Agent

Founder Shield places ERISA fidelity with third-party carriers and restates the 10% of funds-handled rule for plan assets. Travelers lists the same line under management liability and surety, covering theft, embezzlement or forgery by people handling plan funds, and you buy it through an independent agent. Choose Founder Shield if you want broker placement and its stated bond guidance; choose Travelers if you want to start with its ERISA product through an independent agent. ¹ ⁴ ⁵

Coverage Words and Statutory Amounts

Both describe plan-asset dishonesty. Founder Shield lists theft, embezzlement, forgery, misappropriation and larceny, and restates ERISA’s 10% / $1,000–$500,000 (up to $1 million with employer securities) rule. Travelers describes cover for a benefit plan against fraud or dishonesty such as theft, embezzlement or forgery by people who handle plan funds, without publishing those dollar figures on the reviewed pages. ¹ ⁴

How You Buy and Carrier Selection

You request Founder Shield’s bond on its website or through an advisor; it says it uses only AM Best A- or better carriers matched by industry. Travelers ERISA fidelity is bought through a Travelers independent agent. Founder Shield’s FAQ does not name the issuer for this line; Travelers’ reviewed pages do not publish premiums or terms. ² ³ ⁵

What Should You Confirm in Founder Shield and Travelers Fidelity Bonds Quotes?

Ask Founder Shield which A-rated carrier would issue the bond and the penalty versus plan assets. ³ ¹
Ask the Travelers agent for the bond amount, whether it meets ERISA, and the named plan. ⁴
Compare the definition of “handler of plan funds” on both forms. ¹ ⁴
Confirm deductibles and whether the bond is written as surety, insurance, or both labels Travelers uses. ⁴ ⁵

Founder Shield vs Travelers Fidelity Bonds Compared

Founder Shield vs Travelers: Fidelity Bonds: documented features by provider

Criteria	Founder Shield ERISA Fidelity Bond	Travelers ERISA Fidelity Insurance
How to Apply	You request Founder Shield ERISA Fidelity Bond through Founder Shield's website or an insurance advisor rather than binding coverage directly; Founder Shield says its placement team then approaches carriers on the client's behalf. ^2,³Company-reported. About-us and carrier-selection pages describe the general placement process, not a line-specific application form.	ERISA fidelity coverage is bought through a Travelers independent agent. ⁵Company-reported. Surety Bonds page "Find an insurance agent" call to action.
Coverage Features	Founder Shield lists theft and embezzlement of plan assets, forgery, misappropriation and larceny by those who handle a benefit plan's funds as what an ERISA fidelity bond covers. ¹Company-reported. Product page; the issued bond and its terms control actual coverage.	Travelers describes ERISA fidelity insurance as covering an employee benefit plan against losses caused by acts of fraud or dishonesty, such as theft, embezzlement or forgery, by the people who handle plan funds. ⁴Company-reported. Management & Professional Liability Insurance page, ERISA fidelity insurance entry; exact terms and required minimum bond amounts are set by ERISA and the issued bond.
Role in This Line	Founder Shield is a retail insurance brokerage, described on its site as “the innovation arm of The Baldwin Group,” and places Founder Shield ERISA Fidelity Bond with third-party carriers rather than underwriting the policy itself. ²Company-reported. About-us page; applies to Founder Shield's brokerage model generally, restated here for this line.	Travelers lists ERISA fidelity as one of its Management & Professional Liability products, and separately lists ERISA Fidelity among the bond types it provides on its surety bond page. ^4,⁵Company-reported. Management & Professional Liability product list and Surety Bonds product list.