That’s what retirement industry experts say plan sponsors are confronting amid rising expectations for keeping retirement accounts safe. As Michael Bonfante, Business Development Manager at Colonial explains in FiduciaryNews:
“Since the DOL’s release of Cybersecurity Guidance in 2021, there’s a whole lot more for plan sponsors to worry about and figure out. At the end of the day, plan sponsors are now charged with greater fiduciary duties—such as verifying that all their service providers are following all the right cybersecurity protocols. For example, if there are data breaches, are notifications being handled properly? The list is endless—and the stakes are high, with the intersections of ERISA law and cybersecurity being created at audit tables and in courtrooms around the country.”
Bottom line, for plan sponsors, cybersecurity oversights can result in allegations of fiduciary failure related to ERISA’s high standards of prudence and loyalty for the protection of retirement accounts.
Don’t shoulder these expectations alone. Colonial Surety’s Fiduciary-Cyber Liability Insurance pack offers affordable protection to plan sponsors across the country. Armed with this coverage, if you face claims of alleged or actual breaches of duty in connection with the employee retirement plan, you’ll be covered for defense costs and penalty limits up to $1,000,000.
Plus, in the event of a cyber breach, your business—and plan—will receive support at every stage of incident investigation and breach response, as well as coverage against lawsuits or regulatory actions related to the breach.
Colonial’s affordable protections for plan sponsors everywhere in the country are available online, in minutes.