Five Ways to reduce the risk of catastrophic losses
In the transportation industry, motor carriers face a myriad of risks that can lead to catastrophic...
Employee Benefits Liability (EBL) insurance protects your trucking company against liability when a team member makes an error, omission, or administrative mistake involving your employee benefits program.
It is one of the three types of insurance your company needs when you are an employer administering benefits programs and handling employee funds under the Employment Retirement Income Security Act (ERISA).
Dishonesty coverage protects your trucking business from theft of funds by a program administrator. Dishonesty coverage is mandated by federal law.
Fiduciary Liability coverage protects your business from errors in the management of employee benefits, pension plans, and plan assets.
EBL coverage protects your trucking business from legal liability from errors, omissions, and negligence in administering your employee benefits programs.
Although your human resources staff does its best to prevent errors, employee benefits are complex programs. Clerical mistakes are surprisingly common.
Unfortunately, a single benefits error — such as failing to enroll a new truck driver in a medical plan — can quickly become a large financial burden. If the driver is hurt or has a serious medical problem, they’ll likely sue you for compensation. That one mistake can leave your company liable for thousands of dollars in damages, not to mention legal fees.
Employee Benefits Liability insurance provides your trucking business financial protection against the fallout.
One of the primary reasons trucking companies purchase EBL coverage is to pay for legal defense costs.
While your company may have a great Commercial General Liability policy, General Liability doesn’t cover financial injuries caused by clerical errors.
That’s where Great West’s Employee Benefits Liability coverage comes in. It is actually an endorsement (or amendment) that is added to your Commercial General Liability policy that fills the errors and omissions coverage gap for benefits administration. It tends to be one of the least expensive kinds of insurance and you can elect coverage up to the limit of your Commercial General Liability coverage.
Employee Benefits Liability insurance from Great West covers clerical errors for a number of employee and financial benefit programs, including:
This summary is intended for informational purposes only and does not replace or modify the definitions or information contained in any insurance policy or declaration page, which controls all coverage determinations. Terms and conditions may vary by state, and exclusions may apply.
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In the transportation industry, motor carriers face a myriad of risks that can lead to catastrophic...
Great West |
This story is part of a series of stories examining the total cost of risk, and the four areas...
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