Employee Benefits Liability Coverage

BUSINESS PROTECTION FOR

ADMINISTERING BENEFITS PROGRAMS

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).

RECOMMENDED BUSINESS COVERAGE INCLUDES:

WHY DO I NEED

INSURANCE FOR ADMINISTERING BENEFITS?

Although your human resources staff does its best to prevent errors, employee benefits are complex programs. Clerical mistakes are surprisingly common.

EBL protects your business from liability due to:

Failing to accurately describe a benefits plan or eligibility rules
Neglecting to sign up a new employee for requested medical insurance
Making an error in terminating a benefit for an active employee
Failing to offer optional maternity benefits
Neglecting to offer coverage for dependents.
Miscommunicating a spouse’s option for a retirement plan
Accidentally deleting coverage

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.

WHY DO TRUCKING COMPANIES GET

EMPLOYEE BENEFITS LIABILITY COVERAGE?

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.

WHAT TYPE OF

BENEFIT PROGRAMS ARE COVERED?

Employee Benefits Liability insurance from Great West covers clerical errors for a number of employee and financial benefit programs, including:

Group life, health, dental, or disability insurance
Profit-sharing plans
IRAs
Savings plans
Pension plans
Stock subscription plans
Unemployment insurance, Social Security benefits, or Workers Compensation and disability benefits
Auto, homeowners, and legal advice insurance
Travel and vacation plans
Education tuition-reimbursement plans