ERISA Tips: Parties to an ERISA Fidelity Bond

In a typical bond, the plan is the party that is insured and a surety company — the insurer — is the party that provides the bond.

The persons covered by the bond are those who handle funds or other property of the plan. As the insured party, the plan can make a claim on the bond if a plan official causes a covered loss to the plan due to fraud or dishonesty.

Editor’s Note: ERISA Tips is a feature provided with you in mind — to make the newsletter more useful to you! If you have any content for ERISA Tips or the NTSA Advisor that you would like to contribute or suggest, please contact John Iekel, editor of the NTSA Advisor, at [email protected].