Essential Fiduciary Training Webinar | Full Slide Deck | Rea & Associates

Never before has the topic of fiduciary responsibility been monitored and scrutinized more closely than it is today and the pressure to "get it right" has become virtually overwhelming for business owners nationwide. Not only are businesses expected provide their employees with the tools and knowledge necessary for securing financial stability during retirement, they are expected to do so while adhering to strict guidelines.

This webinar will, indeed, provide participants with the "Essential Fiduciary Training" needed to maintain compliance, minimize risk and maximize your plan's participation. You'll hear from some of our region's leading fiduciary experts on a range of topics that are designed to enhance your skills as a plan fiduciary and you will learn many of the industry's latest trends and insights.

From plan design to plan governance, this webinar is truly essential for anyone responsible for retirement plan management.

Overview:

Section 1 | Retirement in America | Presented by Jeffery Acheson, CPWA, CFP, CPFA, AIF, Advanced Strategies Group
During Section One of the presentation, attendees will learn essential information about the retirement industry of today versus the retirement industry of tomorrow and what fiduciaries can do to manage their company's retirement plans more effectively.

Section 2 | The Retirement Bullseye | Presented by Mario Giganti, CPA, CFP, AIFA, president, Cornerstone Capital Advisors
Wondering how you can help your employees save more for their retirement? Section Two of the presentation will educate attendees about what a successful retirement plan looks like and tips to get there. Mario will also uncover the different types of investors and the tactics best suited to their needs.

Section 3 | Risk Mitigation Through Best Practices In Plan Governance | Presented by Paul McEwan, CPA, MTax, AIFA, principal and director of retirement plan services, Rea & Associates
Paul will guide attendees through the plan document and will help attendees learn more about their roles and responsibilities as a fiduciary for the plan during Section Three of the webinar. You'll discover the due diligence process expected of all fiduciaries and what you can do to comply with your fiduciary obligations.

Section 4 | Case Law Update | Presented by Chris Pycraft, member, Critchfield, Critchfield & Johnston
Section Four of this webinar presentation will show attendees first-hand what's at stake when fiduciaries fail to meet their responsibilities. You will get an up-close and personal look at case law describing the fallout that could result from fiduciary negligence.

1. Learning objectives This webinar will provide participants with the information needed to maintain compliance, minimize risk and maximize your plan's participation. Defining Retirement Success and Navigating Toward that Destination | Jeffrey Acheson, CPWA, CFP, CPFA, AIF, Advanced Strategies Group Attendees will learn essential information about the retirement industry of today versus the retirement industry of tomorrow and what fiduciaries can do to manage their company's retirement plans more effectively. The Retirement Bullseye | Mario Giganti, CPA, CFP, AIFA, Cornerstone Capital Advisors Wondering how you can help your employees save more for their retirement? Mario will educate attendees about what a successful retirement plan looks like and tips to get there. He will also uncover the different types of investors and the tactics best suited to their needs. The Importance of a Prudent Process | Paul McEwan, CPA, MTax , AIFA, Rea & Associates Paul will guide attendees through the plan document and will help attendees learn more about their roles and responsibilities as a fiduciary for the plan. You'll discover the due diligence process expected of all fiduciaries and what you can do to comply with your fiduciary obligations. Fiduciary Duty: Case Law Update | Chris Pycraft, Critchfield , Critchfield & Johnston Chris will show attendees first-hand what's at stake when fiduciaries fail to meet their responsibilities. You will get an up-close and personal look at case law describing the fallout that could result from fiduciary negligence.

2. Jeff Acheson Advanced Strategies Group, LLC Mario Giganti Cornerstone Capital Advisors Paul McEwan Rea & Associates, Inc. Chris Pycraft Critchfield , Critchfield & Johnston Darlene Finzer , moderator Rea & Associates, Inc.

3. Defining Retirement Success and Navigating Toward that Destination “Recalculating Route” Presented by: Jeffery A. Acheson, CPWA ®, CFP®, CPFA, AIF ® Certified Private Wealth Advisor® Advanced Strategies Group, LLC

4. Current Destination “The Golden Years” Current Statistics “Not So Golden”

5. Retirement Security is What Americans Worry About Most

6. Financial Crisis…??? Only 14% of people say they are very confident they will have enough money to live comfortably in retirement Down 9% since 2002 1 One of Americans’ biggest economic fears is not having enough savings for retirement 92% of people think there is a retirement crisis in America 1 The retirement income deficit - the difference between what people have saved for retirement and what they should have at this point - is calculated to be… $6.6 trillion 1

7. Is Social Security the Savior? People typically need 65-85% of pre-retirement earnings to maintain their standard of living 2 Social Security only replaces 40% of the average person’s income 2 The Social Security Normal Retirement Age is 66 for people born 1943-1954 Gradually increasing to 67 for persons born after 1954 2 According to the Social Security Administration the maximum benefit in 2017 = $2,687 monthly 3 The average benefit for all retired workers in 2017 = $1,360 4

8. Health Care Costs for Couples in Retirement… Rise to an estimated $260,000 5 Long-Term Care Insurance Could add additional $130,000 5 Overall Health Care Costs have increased 6% over 2015 5 Highest estimate since calculations began in 2002 5

9. HSAs “Sway”

10. According to the Employee Benefit Research Institute’s (EBRI) study of its 2014 year-end database Average Account Balance $76,293 Median 401(k) Account Balance $18,127 6 20.2% of 401(k) balances > $100,000 6 39.9% of 401(k) balances < $10,000 6 67% of all Americans have TOTAL 401(k) SAVINGS of < $10,000! 1

11. How America Saves Only 24% of Vanguard Accounts have > $100,000 7 ½ of those earning > $100,000 (only 10% of Americans) have balances < $113,000 7 ½ of participants age: 55-64 have balances < $67,000 7 ½ of participants with 10+ years of tenure have balances < $91,300 7 Within plans, few ever accumulate enough to buy $1,000/month of lifetime income 7

12. The Importance of Planning The Facts ... Source: Commissioners' Standard Ordinary Mortality Table; based on composite data (combination of smokers, non-smokers and smoking status unknown); age nearest birthday, 2001 Some people think that retirement planning isn’t important because they won’t live until retirement.

13. How Much Capital Will You Need at Retirement? Amount of capital needed to provide $1,000 of monthly income @ 6% for 25 years Capital Preservation Method $200,000 Capital Depletion Method $155,000

14. We Know What Works …middle class workers are 15 times more likely to save for their families’ retirement at work than on their own…. Source: National Association of Plan Advisors

15. Over 20 million private sector workers earning between $30K-$100K do not have access to a retirement plan at work.

16. Coverage Hasn’t Changed in 40 Years

17. Recalculating Route First we have to know where we are going

18. Closing Thoughts In every aspect of our lives, we strive for excellence so why should our retirement plans be any different? Excellent plans do not happen by accident. Begin with the end in mind and calculate backwards. Be realistic, don’t sugar-coat the truth - get help from professionals who truly understand the gravity of the task ahead and the solutions available to achieve financial success.

19. Conclusion Everybody has a retirement plan, some are created by design and some are created by default. Designed plans have pre-determined costs while default plans have undetermined consequences. What kind of plan do you have? Do you need to recalculate your route?

20. Thank you for your time! presented by: Jeffery A. Acheson, CPWA®, CFP®, CPFA, AIF® Certified Private Wealth Advisor® Advanced Strategies Group, LLC [email protected] [phone] www.mystrategyteam.com

21. References 1 The Retirement Crisis and a Plan to Solve It, by Chairman Tom Harkin, The Retirement Crisis, see www.help.senate.gov , July 2014 2 Learn About Social Security Programs https://www.ssa.gov/planners/retire/ 3 Smith, Austin. “Here’s the maximum Social Security benefit in 2017” for the Motley Fool, December 13, 2016 https://www.usatoday.com/story/sponsor-story/motley-fool/2016/12/13/whats-maximum-social-security-benefit-2017/95088994/ 4 Campbell, Todd. “How Big Will the Average American’s Social Security Check Be in 2017?” Fox Business, November 27, 2016 http://www.foxbusiness.com/how-big-will-average-social-security-check-be-in-2017 5 Fidelity’s Retiree Health Care Cost Estimate, August 16, 2016 6 Employee Benefit Research Institute No. 423 (see www.ebri.og Issue Brief ) by the Employee Benefit Research Institute, April 2016 7 “How America Saves 2017” Vanguard 2016 defined contribution plan data https://institutional.vanguard.com/VGApp/iip/site/institutional/researchcommentary/article/HowAmericaSaves2016

22. The Retirement Bullseye Help your employees save more now , invest wisely , and retire on time, with a retirement paycheck for their life !

23. Table of Contents What is a retirement plan’s “Target”? What are 401(k) Plan Measurements that all Sponsors need to know? Which employees need help and why? What is “Courageous” plan design? How to create ongoing engagement with employees?

24. No compliance issues or complaints ? Only High Performing Investment Options ? Low Fees ? How about a certain Participation Rate Or, Deferral Rate What about the Plan’s Income Replacement Ratio ? There is likely an 85 % chance that 85 % of your employees are not on track to replace their income needs in retirement? What is a retirement plan’s target?

25. 401(k) Measurement Reports Plan Participation Rates Plan Deferral Rates by HCE/NHCE Plan Income Replacement Ratio Age vs. Stock Allocation Analysis Fees & Expenses Assessment of Investment Quality

26. Example of Plan-Level Reporting Source: Voya. Used with permission.

27. Sample: Age vs. Equity Report This information is for illustrative purposes only. Actual plan data may vary.

28. Sample: Fees & Expenses This information is for illustrative purposes only. Actual plan fees & expenses may vary.

29. Investment Quality - Fiduciary Score ® “ Red is STOP , Green is GO ” Source: fi360 Used with permission.

30. How do we identify who needs help and why? 15% of employees want to “do it myself” or seek outside professional help to coordinate outside investments (typically HCE) 85% of employees want the plan to “do it for me” (typically non HCE) Likely stay defaulted The 85% Rule

31. Auto to the 5 th Power (A case study approach) What can we do to make it easier for your “do it for me” employees? Automatic Enrollment Automatic QDIA Automatic Escalation Automatic Re-enrollment The Stretch Match Courageous Plan Design for the 85%

32. Automatic Enrollment 90% stay enrolled (1 ) Automatic QDIA 70% stay in Default Fund (1 ) Automatic Escalation 80% automatically increase investments (1 ) Automatic Re-enrollment Recent Study-80% stay in Default after 1 years (2) (1) Source: 2015 Vanguard Study – “Automatic Enrollment: The Power of the Default” (2) Source: 2017 Vanguard Study – “ Re-Enrollment: One Year Later” Case Study Findings – Vanguard

33. Reenrollment in action (hypothetical example) Improving Plan Diversification through using the QDIA & Reenrollment Source: American Funds – “Reenrollment Can Lead to Better Participant Outcomes”, used with permission.

34. Start with “Auto to the Power of Five”, then provide each employee:            Their “ Desirement Mortgage” Personal Retirement Readiness Report Be the CEO of your Paycheck Manufacturing Company How to use Other People’s Money Understand the Stages of an Investor’s Life and how to allocate appropriately Analyze & measure results Employee Engagement

35. This presentation is not to be redistributed. Cornerstone is registered with the Securities and Exchange Commission as an investment adviser under the Investment Advisers Act of 1940, as amended. This document does not constitute an offer or solicitation for the purchase or sale of any security or investment product which may only be made by means of delivery of approved confidential offering materials. Investing involves risks, including the potential loss of some or all of the initial investment. Our fees are fully disclosed in our Part 2A of Form ADV and may be updated from time to time. Part 2A of Form ADV is available upon request. Past performance is not a guarantee of future results. Disclosures

36. Essential Fiduciary Training: Paul McEwan CPA, MTax , AIFA® The Importance of a Prudent Process

37. The Importance of a Prudent Process What we will cover today in this part of the program: The five fiduciary responsibilities under ERISA Definition of fiduciary duty Who is a plan fiduciary? The fiduciary process for your retirement plan: How to get organized How to formalize your process How to implement your process How to monitor your service providers

38. The Importance of a Prudent Process Five fiduciary responsibilities under ERISA: Act solely in the best interests of plan participants Act prudently Follow the plan documents Diversify plan assets Pay only reasonable plan expenses

39. Getting Organized Definition of fiduciary duty A  fiduciary duty  is a legal   duty  to act solely in another party's interests.  Parties owing this  duty  are called  fiduciaries . The individuals to whom they owe a  duty  are called principals.  Fiduciaries  may not profit from their relationship with their principals unless they have the principals' express informed consent .

40. Getting Organized Who are the fiduciaries of a retirement plan? Named fiduciaries Functional fiduciaries

41. Getting Organized Educating the plan fiduciaries Demonstrating an awareness of responsibilities Fiduciary acts – control or discretion over plan assets Non-fiduciary acts – ministerial duties, following directions or statutory requirements, no discretion over plan assets Understanding roles & responsibilities of all involved parties Sources of fiduciary training

42. Getting Organized Roles of parties to a retirement plan Plan sponsor Plan trustee Participants Service providers Investment advisor Investment managers Record keeper Third Party Administrator

43. Getting Organized Identifying conflicts of interest among parties and service providers Duty of loyalty Mitigating or eliminating conflicts of interest

44. Getting Organized Reviewing service agreements and fees Agreements should be in writing Should identify services provided and fees Fiduciary status must be in writing Should identify who is paying the fees – ERISA 408(b)(2)

45. Formalizing the Process Investment Policy Statement Investment decision making roadmap for committee Should be coordinated with investment advisor Contents Plan objectives Roles & responsibilities Asset classes Risk tolerances, Time horizon Fund selection process Fund monitoring process

46. Implementing the Process Selection of service providers Selected in accordance with plan design considerations Participant investment direction requirements Qualified default investment alternative Automated plan design features Decisions regarding investment strategies and types of investments are documented Reasonable due diligence process Request for proposal process

47. Monitoring Service Providers Periodically reviewing activity reports from: Investment advisor Record keeper Third party administrator Plan auditor

48. Monitoring Service Providers Periodically measuring investment performance against benchmarks and expectations Investment monitoring criteria should align with investment selection criteria Quarterly dashboard of plan data Investment information Plan fee information Benchmarking plan fees Request for proposal process

49. Understanding Plan Fees

50. Thank you! Paul W. McEwan CPA, MTax , AIFA® [email protected] 330-308-6827

51. Fiduciary Duty Chris Pycraft Critchfield , Critchfield & Johnston

52. Definition of Fiduciary Background The Employee Retirement Income Security Act of 1974 (ERISA) outlines a number of requirements for retirement plans. The Department of Labor (DOL) has authority to regulate these plans. ERISA requires plans to have fiduciaries – persons who manage employee benefit plans and assets – and outlines a number of responsibilities for plan fiduciaries. Thus the definition of a “fiduciary” is very important.

53. Definition of Fiduciary (cont.) Definition Narrowly defined for decades using a five-part test. Person with no discretionary authority over assets, and who, for compensation: Renders advice as to the value of, or make recommendations as to the advisability of investing or purchasing securities or other property; On a regular basis; Pursuant to a mutual agreement; The advice serves as the primary basis for investment decisions ; and The advice is individualized based on the particular needs of the plan.

54. New Fiduciary Rule New Rule In April 2016, the DOL issued its long-awaited final rule regarding who is a “fiduciary” of a plan. The updated definition is broad and has been controversial. Purpose of Change THIS EXPANSION IS PRIMARILY INTENDED TO COVER ADVISORS WHO MAKE RECOMMENDATIONS IN CONNECTION WITH SELF-DIRECTED 401Ks AND ROLLOVERS FROM IRAs.

55. New Fiduciary Rule (cont.) New Definition (29 CFR § 2510.3-21) Expanded to include any person that provides to a plan, plan fiduciary, plan participant or beneficiary, IRA, or IRA owner, for a fee or other compensation, direct or indirect advice about a wide range of matters, including: The advisability of acquiring, holding, disposing of, or exchanging, securities or other investment property, or how property should be invested, rolled-over, transferred or distributed from the plan or IRA; or Recommendations about the management of securities or other investment property; or recommendations with respect to rollovers, transfers, or distributions from a plan or IRA; and The aforementioned recommendation is made either directly or indirectly by a person who: Represents or acknowledges that it is acting as a fiduciary; Renders the advice pursuant to an agreement or understanding that the advice is based on the particular investment needs of the recipient; or Directs the advice to a specific advice recipient or recipients regarding the advisability of a particular investment decision.

56. New Fiduciary Rule (cont.) Exceptions to New Rule include the following: Best Interest Contract Exemption (BICE) Allows advisors to receive compensation that would otherwise be considered a prohibited transaction (i.e ., self dealing or receiving payments from third parties). Advisor must acknowledge its fiduciary status in writing and adhere to enforceable standards of fiduciary conduct and fair dealing . Only applies to financial institutions. Principal Transactions Exemption Generally, principal transactions create a conflict of interest under the fiduciary rule. The Principal Transactions Exemption allows the advisor to engage in a principal transactions or riskless principal transactions. There are strict requirements for the applicability of this exemption, including limits on the types of investments that may be purchased and a requirement that the Financial Institution acknowledge its fiduciary status in writing. 29 CFR Part 2550.

57. Delays to the New Fiduciary Rule The applicability date of the Fiduciary Rule was originally set for April 10, 2017. In February, the President sent a memo to the Secretary of Labor instructing the DOL to conduct further analysis on the economic impact of the regulations. In response, the DOL decided to delay implementation of certain parts of the Fiduciary Rule, extending the applicability date by 60 days to June 9, 2017. The BICE and Principal Transactions exemptions are also applicable on June 9, 2017, but full compliance is not required until January 1, 2018. This means that for the conflicted transactions in which BICE or Principal Transactions would apply, advisors are only required to comply with impartial conduct standards during the transition period. “Impartial Conduct Standards generally require that advisers and financial institutions provide investment advice that is in the investors' best interest, receive no more than reasonable compensation, and avoid misleading statements to investors about recommended transactions.” 82 FR 16902. On May 22, 2017, Labor Secretary Alexander Acosta stated in a Wall Street Journal Op-Ed that the DOL has no legal basis to further postpone the June 9, 2017 applicability date.

58. Duty to Continually Monitor Investments Tibble v. Edison Int’l, 135 S. Ct. 1823 (U.S. May 18, 2015) In Tibble v. Edison Int’l , plaintiffs alleged that losses suffered in Edison International’s (the employer) defined benefit 401(k) retirement plan were caused by a breach of fiduciary duty. Plan fiduciaries had selected and continued to hold higher priced retail mutual funds, when materially the same mutual funds were available as lower cost institutional funds. The District Court and Appellate Court barred the claim under ERISA’s six-year statute of limitations. This decision was based on the conclusion that Edison only violated its fiduciary duty when it selected the funds.

59. Duty to Continually Monitor Investments (cont.) Tibble ( con’t .) The Supreme Court vacated the judgment and remanded case in a 9-0 decision. The Supreme Court made the following findings to remand the case : ERISA Fiduciary Duties are derived from the common law of trusts. Under ERISA, a fiduciary must discharge its responsibilities with the skill, prudence, and diligence under the prevailing circumstances that a prudent man acting in a like capacity and familiar with such matters would use. Under the law of trusts, the duty to continually monitor investments is a duty that exists separate and apart from the duty to exercise prudence in the initial selection of the investments. Deriving from trust law, the Court found that an ERISA fiduciary does have a duty to monitor investments and remove imprudent ones.

60. Duty to Continually Monitor Investments (cont.) Scope The Court did emphasize that the duty to monitor should be exercised according to the fiduciary’s obligation to discharge its responsibilities with “care, skill, prudence, and diligence” pursuant to 29 U.S.C. § 1104(a)(1). But the Tibble court did not clarify the scope of the duty to monitor investments in the ERISA fiduciary context because it did not need to reach the issue. Remand Although the Supreme Court found a continuing duty to monitor investments, the case was still dismissed on remand. The Ninth Circuit dismissed the case, stating that the plaintiffs failed to argue an ongoing duty to monitor at the District Court level.

61. University Fee Cases 12 class action lawsuits were filed against 12 universities over the last year. See, e.g., https ://www.bna.com/duke-second-school-n73014450919 / . The lawsuits allege a breach of fiduciary duty on the part of the universities in the administration of their retirement plans. The alleged breaches of fiduciary duty generally include: Breach of duties of loyalty and prudence (unreasonable administrative fees); Breach of duties of loyalty and prudence ( unreasonable investment management fees and performance losses); and Failure to monitor fiduciaries.

62. University Fee Cases (cont.) The primary arguments made in support of the claims are as follows: Excessive administrative and recordkeeping fees are in violation of ERISA’s requirement that fees be reasonable. Too many plan options, leading to uninformed decision making and/or no decision making at all by plan participants . “Decision paralysis.” Multi- recordkeeper platform is inefficient and wasteful. Defendants failed to invest in lower cost institutional funds that were available and identical to higher cost retail funds. The plan carried duplicative investment options, which confused participants and lessened the plan’s ability to negotiate for lower fees . See Henderson et al v. Emory University , Complaint, Docket 1:16-cv-0292.

63. University Fee Cases (cont.) Current Status In May of 2017, federal c ourts have ruled on motions to dismiss in the Emory University and Duke University Cases. In both cases, the majority of claims were allowed to move forward. Both rulings addressed the “decision paralysis” claim: In the Emory University case, the Judge rejected the claim that too many plan options is a breach of fiduciary duties. However, the Judge in the Duke University case allowed the decision paralysis claim to go forward.

64. Stock Drop Cases Background Until recently, motions to dismiss in stock drop cases were evaluated under the pro-defendant Moench presumption prudence. Under Moench v. Robertson , ESOP fiduciaries were presumed to have acted prudently, absent a pleading of facts alleging that the employer “was on the brink of collapse.” Moench v. Robertson, 62 F.3d 553 (3d Cir. N.J. Aug. 10, 1995). Fifth Third Bancorp v. Dudenhoeffer , Dudenhoeffer overruled the Moench presumption. ESOP fiduciaries are not entitled to a presumption of prudence – subject to same duties that apply to all ERISA fiduciaries. Fifth Third Bancorp v. Dudenhoeffer , 134 S. Ct. 2459 (U.S. June 25, 2014).

65. Stock Drop Cases (cont.) Dudenhoeffer modifies the pleading standard in stock drop cases as follows: To state a claim for breach of the duty of prudence, the complaint must plausibly allege a legal alternative action that could have been taken, and that a prudent fiduciary in the same circumstances would not have viewed as more likely to harm the fund than to help it . If the alleged imprudence is based on the failure to act on inside information, courts must consider: (1) whether buying/selling the stock and/or publically disclosing negative information would have violated securities law, and (2) whether the complaint plausibly alleges that a prudent fiduciary could not have concluded that ceasing purchases or disclosing negative information would do more harm than good . Fifth Third Bancorp v. Dudenhoeffer , 134 S. Ct. 2459, 189 (2014).

66. Stock Drop Cases (cont.) Post- Dudenhoeffer Subsequent cases confirm that the Dudenhoeffer pleading standard is high. Lower courts have reached varying interpretations of Dudenhoeffer , some interpreting to be pro-plaintiff and others interpreting to be pro-defendant. In Amgen Inc . v. Harris , 136 S. Ct. 758 (U.S. Jan. 25, 2016), the U.S. Supreme Court reinforced the stringent pleading standards required by Dudenhoeffer . In Amgen , the Ninth Circuit inferred an alternative action that could have been taken. However, the Supreme Court held that because the alternative action was not stated in the complaint, the complaint should fail the Dudenhoeffer pleading standard.

67. Remedies CIGNA Corp v. Amara, 563 U.S. 421 (U.S. May 16, 2011) Plaintiffs sought relief after failure to disclose changes to the pension plan. Plaintiff’s sued under Section 502(a)(1)(B), which allows plan participants to bring claims to enforce the terms of the plan. The District Court crafted a remedy that changed the plan, and awarded plaintiffs what they would have received under the old plan. The Supreme Court held that 502(3) would have allowed this kind of equitable remedy, as it is not covered by 502(a)(1)(B).

68. Remedies Rochow v. Life Ins. Co. of N. Am., 780 F.3d 364 (6th Cir. Mich. Mar. 5, 2015) Plaintiff sued insurance company for improperly delaying long term disability payments. Plaintiff sought enforcement under 502(a)(1)(B) and disgorgement of profits under 502(3). The Sixth Circuit held that where there is an adequate remedy under 502(a)(1)(B), disgorgement of profits is not available under 502(3) for the same injury. 502(a)(1)(B) is an equitable remedy that aims to make the plaintiff whole. Allowing the plaintiff to repackage the same injury as a 502(3) claim is contrary to the purpose of ERISA, and would result in duplicative recovery. In Rochow , the injuries were not separate and distinct, as the disgorgement of wages is ancillary to the withholding of payments.

69. Fiduciary Liability Coverage and ERISA Bonding Similar concepts, but serve different functions: ERISA Bonding ERISA bond is required by law and protects the Plan assets from theft and misappropriation due to “fraud or dishonesty.” ERISA bonding is required for all plan fiduciaries and any persons handling plan assets. The plan is generally the named insured. Fiduciary Liability Insurance Fiduciary liability insurance protects plan fiduciaries by covering litigation fees and damages that may result from fiduciary liability litigation. Fiduciary liability insurance is NOT required by ERISA and DOES NOT satisfy the bonding requirement. Generally does not cover acts of fraud or dishonesty.

70. Darlene Finzer [email protected] Jeff Acheson [email protected] Mario Giganti [email protected] Paul McEwan [email protected] Chris Pycraft [email protected] Questions?