The benefits package that you provide to your employees can be a great incentive towards building loyalty and trust with the people who work for you … so long as that package is backed by a solid plan should mishaps occur.
Employee Benefits Liability protection is built to handle claims against you brought by employees for negligent acts involving your employee benefits programs. Claims often include:
- Employee Stock Subscription Plans
- Disability Benefit Plans
- Group Life Insurance Plans
- Group Health Insurance Plans
- Profit Sharing Plans
- Social Security Benefit Plans
- Unemployment Insurance
- Workers’ Compensation
Is this a separate policy from my General Liability coverage? Do I have to pay separate premiums?
Consider an employee benefit liability policy as an extension to your General Liability policy. It will kick in to cover the claims that go over the coverage within your General Liability plan. By working with our team, we can build a custom policy that pulls in several coverage policies under one competitive rate.
So If I have this policy, does that also provide my employees with Worker’s Compensation?
Great question, but unfortunately this policy doesn’t quite blanket your business with coverage like that. The difference is that this policy would cover claims from employees that don’t feel your Worker’s Compensation package is sufficient to cover an injury that might have happened. You would still need to hold an actual Worker’s Comp plan to cover any actual injuries.
If the manager overseeing my employee benefits plans is caught stealing funds, would my business be liable for the loss?
In most cases, yes it would be up to the business to make things right. The manager was working for you at the time of the incident, and your employees are left without their retirement plans, so we would want to do everything in our power to alleviate the damage caused.