What is Employee Benefits Liability Insurance?
Employee Benefits Liability Insurance is a type of professional liability insurance which covers an insured in the event of a claim which arise out of errors or omissions in the administration of a company benefit plan. For example, failing to advise employees of eligibility rules, clerical errors such as missing employee files or records related to benefits, or failing to maintain, enroll, or terminate beneficiaries. Coverage is generally added by endorsement to a general liability policy or other fiduciary liability policy.
What type of benefit plans are covered by EBLI?
Benefits plans typically covered under EBLI would be life and dental insurance plans, pension or profit sharing plans, social security, unemployment benefits and even maternity leave.