Bonding

 

PROTECT YOURSELF AGAINST LIABILITY!

The Employee Retirement Income Security Act (ERISA) of 1974 requires that the Plan Sponsor (normally the Employer), who has the responsibility to direct and control assets, shall be bonded.

The Department of Labor now will enforce compliance of the Fidelity Bonding requirement. Now businesses, even with small plans, will be faced with penalties if they fail to have a complying Fidelity Bond in place.

The amount of the bond should not be less than 10% of the amount of the plan assets.

The cost of the bond is minimal for the protection provided.

For your convenience we have provided a link to Colonial Surety where you are able to find out more about the bonding requirement and the cost. You are also able to complete the whole application process online if you desire.

Find out the cost now by clicking the link below:

https://my.colonialdirect.com/quote?ref=MN0112

OR

Contact your insurance agent for a quote to meet these important requirements.

The attached Department of Labor link offers some FAQ's relating to the bonding requirements:
http://www.dol.gov/ebsa/faqs/faq_auditwaiver.html#