CNA - Bonds

The Employee Retirement Income Security Act of 1974 (ERISA) provides protection of pension rights.

Sets minimum standards for pension plans, guaranteeing that pension rights cannot be unfairly denied or taken from the worker.
Provides protection for workers in the event certain types of pension plans cannot pay the benefits to which workers are entitled.
Requires that employers provide full and clear information about employees’ pension rights, including the way pension benefits accumulate, how that company invests pension funds and when and how pension benefits can be collected.

These bonds are required by ERISA and protect organizations from the effects of dishonest acts by

Plan trustees and officers
Plan employees, administrators or managers (other than independent contractors)
Directors, trustees or employees who handle assets of pension plans insured by our policy.

Program Overview

Three year terms, either prepaid or annual installments.
No deductible applied to coverage.
More than one plan can be included in the policy (eliminates the need for multiple ERISA bonds).
For limits of $100,000 or less the bond automatically includes an endorsement which eliminates the need for notification of an increase in the limit during any policy term unless the increase is 20% of the limit.