Products
Insurance Coverage for Mutual Fund Managers, Mutual Funds and Mutual Fund Boards
Liftman Insurance brokers Errors & Omissions Insurance (also known as E&O or Professional Liability Insurance), Directors & Officers Insurance (also known as D&O), SEC Rule 17g-1 mutual fund bonds and cybersecurity coverage for mutual fund managers, registered investment companies and their respective Board of Directors. More than 2,500 investment firms rely on Liftman Insurance. Click any product below to learn more about the different types of coverage.
Mutual Fund Liability Insurance (Errors & Omissions and Directors & Officers)
Directors and Officers Coverage and Errors and Omissions Coverage comprise what is referred to as fund liability coverage. These two types of liability insurance may be combined in a single D&O/E&O insurance policy – designed to protect insured entities (the fund) and individuals against the financial impact of judgments, settlements, and legal defense costs incurred in lawsuits relating to their professional services and/or positions as directors, officers and trustees.
Call 617.439.9595 to apply
Cybersecurity Insurance
A mutual fund runs through a chain of service providers: advisers, transfer agents, custodians and administrators. A breach at any link can expose shareholder data or open the door to fraudulent redemptions and wire requests. Mutual Funds, Mutual Fund Managers, and Mutual Fund Boards are subject to the SEC’s amended Regulation S-P that applies to registered investment companies, requires written incident response programs, oversight of service providers, and notice to affected individuals after certain breaches.
Cyber policies may cover:
- Network extortion and ransomware payments
- Social engineering and fraudulent funds transfer (firm’s own funds)
- Data forensics, breach notification and credit monitoring
- Regulatory defense, fines and penalties, where insurable by law
- Business interruption and reputational loss
- Public relations expenses and media liability
Mutual Fund Fidelity Bonds (SEC Rule 17g-1)
SEC Rule 17g-1 under the Investment Company Act of 1940 requires registered management investment companies to bond officers and employees who have access to fund securities or cash. The minimum bond amount scales with the fund’s gross assets. A majority of the independent directors must approve the bond at least once a year, and the bond must be filed with the SEC. A mutual fund fidelity bond may meet or exceed Rule 17g-1 requirements.
Call 617.439.9595 to Apply Now
Not sure which coverage your firm needs?
Talk to a Liftman specialist. We will review your current program, point out gaps, and get you a quote. Even if you are not a client, you will like how quickly we understand your situation.
