Schedule A Meeting

Waiver of Recourse

Karly Rideout - Monday, October 11, 2021

A waiver of recourse is an ERISA-mandated recourse provision which states that the personal assets of a breaching fiduciary will be at risk for the losses that arise from them notwithstanding the fiduciary insurance policy. 

A fiduciary liability insurance policy must include a waiver of recourse provision so that the insurer is not able to recoup any payments coming from the individual fiduciary. With a waiver of recourse provision, the insurance carrier will need to charge an additional premium that cannot be paid for using the benefit fund’s assets. Typically, the additional premium charged for waiver of recourse is a minimal cost, $25 per individual fiduciary. 

Euclid Specialty provides an article that explains waiver of recourse and poses frequently asked questions related to it. 

Read the full Euclid Specialty article here

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