What Insurance Covers Employee Benefit Plan Mistakes?
Fiduciary liability may cover wrongful plan-management claims; a narrower employee-benefits extension may cover clerical errors only.
A clerical enrollment error and a decision about investment oversight or plan design can fall under different coverage provisions. An employee-benefits extension may be narrower than fiduciary liability.
Check the grant for each type of act, covered plans and people, defense costs, exclusions, and limits. Ask how errors in contributions, eligibility, and investment choices are treated.
