Insurance and ERISA Bonding

An ERISA fidelity bond is a type of insurance that protects your 401(k) plan against losses caused by acts of fraud or dishonesty by individuals who handle plan funds.

Guideline maintains an ERISA bond covering your plan, which provides protection in the event of a claim of lost plan assets due to fraudulent or dishonest acts by Guideline, our employees or agents. However, you may want to consult your legal counsel to determine whether other individuals who may be managing your plan funds will need additional bonding.

Note that ERISA generally requires any person who “handles funds or other property” of an employee benefit plan to be bonded, so you may want to consult with your legal counsel to determine whether individuals of your company who will be managing the 401(k) plan may need additional bonding.

You can refer to the "Administrator Obligations" section under the Guideline Terms of Service for more information.

 

Was this article helpful?
0 out of 0 found this helpful
Have more questions? Submit a request