U.S. Department of Labor requires an organization that manages, oversees, recommends or handles funds or other property of an employee benefit plan to obtain a Fidelity Bond which is known as ERISA Bond.
Mercer Consumer offers both 1st and 3rd Party ERISA Bonds (for Investment Advisers). These bonds protect against acts of fraud or dishonesty by any officer, trustee, employee, administrator or manager of the insured benefit plan. As defined by the Employee Retirement Income Security Act of 1974, the limit of liability must be 10% of each plan’s assets, subject to a minimum of $1,000 and up to a maximum of $500,000.
Most recent changes to this rule is if the plan invests in employer securities, such as company shares, the maximum bond amount is $1,000,000.
1st Party ERISA Bonds
To protect the assets in your qualified pension and 401(k) plans as required by ERISA.
3rd Party ERISA Bonds
Even for Investment Advisers with non-discretionary control, we can tailor a bond to incorporate all of the plans you manage and administer to protect the qualified assets of those plans and satisfy your bonding requirement under ERISA.
What determines qualified vs. non-qualified?
How to Apply
What other insurance products are available for RIA firms?
How can I learn more about the insurance products offered by Mercer Consumer and how they can best serve my firm?