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Registered Investment Advisor E&o Insurance

By | June 26, 2022

Commercial financial institutions insurance–coverage written to your benefit.

As a commercial financial institution, you know even the littlest detail can make a huge impact—such as those tiny footnotes in the back of a prospectus or annual report. For your firm’s professional insurance coverage, the details are also important. That’s why your firm needs insurance coverage developed for financial service professionals to protect you, your firm, and your assets.

Our commercial financial institutions policy includes*:

  • Coverage for your in-house chief compliance officer
  • Coverage for your acts as a fiduciary
  • Coverage for mainstream investments including ETFs and alternatives
  • Professional liability only

We are the obvious choice for thousands of financial service professionals:

Request an information package with instructions on how to apply for E&O coverage.

  • Registered investment advisors
  • Pension consultants
  • Family offices
  • Municipal advisors
  • Registered funds
  • Private funds
  • US-based non-depository lending institutions
  • Broker-dealers
  • Miscellaneous financial services
  • Non-bank trust
  • Registered investment advisor with firm exposure

Why commercial financial institutions need insurance

Our professional liability insurance program is recommended by top industry associations. We call this coverage tailoring – you can keep your policy even if you change broker-dealer or life company affiliations. Secondly, as it is not uncommon for practitioners to gradually move their practice from fees and commissions to fee-only, your policy can be structured to cover both fee activities and product sales coverage. We call this coverage tailoring.

Some of the major differences you may find in our commercial financial institutions policy:

Incident trigger

Critical for early intervention in a potential claim

  • A “written demand” is not required to trigger loss control
  • Policyholders have access to our risk management and loss prevention hotline. This hotline allows policyholders to discuss potential claim scenarios with an attorney. We will pay up to $10,000 (without triggering the deductible) in investigative costs if the policyholder calls us before a claim is filed.

Broad coverage for your firm’s business activities

  • Professional services rendered or advice given to others by the insured for a fee, remuneration, or other consideration
  • Activities as a financial planner, registered representative, registered investment advisor, pension consultant, investment consultant, investment manager, or life insurance agent
  • Automatic coverage for acts as a fiduciary
    • Management of clients’ retirement plans
    • Personal liability protection from the Pension Protection Act of 2006

Insurance coverage for commercial financial institutions

The right insurance protection is one that provides coverage options and limits that can fit your firm. What makes us the right choice is our underwriting teams that have financial services backgrounds.

Professional liability coverages (E&O)

  • Limits up to $10 million
  • Deductibles options from $1,000
  • Execution error coverage included
  • Claims made basis

Cyber: Data breach, funds transfer fraud, media liability, and social engineering

If a covered event occurs that may result in damage to your practice, Markel’s insurance can offer the following:

  • Separate limits up to $2 million
  • Funds-transfer-fraud/social engineering
  • Privacy liability
  • Forensic expense
  • Public relations expense
  • Variable deductibles available
  • Ransomware
  • Business interruption
  • PCI assessments

Policyholders have access to the Markel® Cyber Hotline, which provides 24/7 access to a breach coach and the eRiskHub portal which provides various cyber resources.

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Right and duty to defend, including

  • “Incident trigger” – the expense incurred to investigate an event
  • Execution error coverage included
  • Defense incurred in response to: (1) regulatory disciplinary proceedings; (2) in response to a subpoena for documents or testimony

Extended coverage for your services

  • Product sales coverage
  • Tax preparation coverage
  • Limited trustee services coverage
  • Divorce financial consulting coverage
  • Accounting services coverage
  • Life insurance agents coverage

Our broad definition of covered activities encompasses a variety of professional services

  • Financial advice given to others for a fee, remuneration, or other consideration
  • Includes pro bono advisory services
  • Educational training such as ERISA 404 (c)
  • Additional payment for loss control and investigative expenses

We also offer premium credits for professional designations and risk management strategies for

  • Fee-only financial advisors
  • Practices dedicated to financial planning only
  • Firms with multiple advisors
  • Members of affinity partner financial associations and professional organizations



We have contracts with a panel of risk management experts who are available to answer general risk management related questions.



We recommend you ask these questions anytime you are purchasing professional liability coverage regardless of carrier.



View our philosophy, affinity partners, and available compliance consultants.

Are you an agent or broker looking for applications?

Applications for the commercial financial institutions products an be found in Markel’s Agent portal, mPortal. Log in and click the training tab to access the applications and other valuable agent resources.

*Coverages are subject to policy terms, exclusions, conditions and limitations. The commercial financial institutions insurance is offered through Markel Assurance and Markel Specialty.

This content is provided for informational purposes only. Terms, conditions, and exclusions apply. Coverage is underwritten by one or more insurance companies of Markel and policyholder services are provided by the underwriting manager, Markel Service, Incorporated, national producer license # 27585, in California d/b/a Markel Insurance Services, license # 0645481. Certain products and services are provided through various non-admitted insurance companies of Markel and are offered through licensed surplus lines brokers or through Markel West Insurance Services, California license # 2E11302. Terms and conditions for rate and coverage may vary by state and application. Insurance and coverage are subject to availability and qualifications and may not be available in all states. Coverage descriptions listed are intended to be brief and do not replace actual policy language. Markel® is a registered trademark of the Markel Corporation.

Registered Investment Advisor E&o Insurance

Source: https://www.markelinsurance.com/investment-advisors

Posted by: finance.companiamedica.com

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