RSA launches Pension Trustee Liability Insurance product

Authored by RSA

RSA Insurance has announced the expansion of its Financial Risks portfolio with the launch of a Pension Trustee Liability (PTL) insurance product. This follows the recent launch of RSA’s Excess of Loss (XOL) product, announced in July.

The PTL product, which is now available to brokers and commercial lines customers throughout the UK via RSA’s Mid Market business, is aimed at UK pension schemes which are well funded with a financially strong employer who use independent professional advisors to manage their risk, including those requiring wind-up and run-off cover for parts of their portfolio.

PTL insurance is designed to protect the liabilities of pension trustees, sponsoring employers and the fund or scheme itself against defence costs, awards and damages where actions are taken against them for alleged wrongful acts or omissions in respect of their administration and management of the pension scheme.  Cover is available for both Defined Benefit and Defined Contribution schemes on an “any one claim basis”.

The contract is written in the name of the pension fund and/or scheme being insured, with cover extending to all individual trustees, past and present, on a “claims made” basis and the sponsoring employer.

Fiona Tomlinson, Portfolio Lead - Financial Risks at RSA Insurance, said:

“Rightly so, the responsibilities and duties that pensions trustees are expected to carry out are something that has grown considerably over the last ten to twenty years and isn’t going to decrease. As a result, the need and demand for a high-quality product that provides protection and allows trustees to carry out their duties to the best of their ability, is increasing.

“Bolstering our Financial Risks portfolio with the launch of our new Pension Trustee Liability product offers a significant growth opportunity for us, while also helping us to better support brokers and their clients. We want to widen our relationships with customers and brokers by giving them access to a suite of products that are complementary and cover a broader range of risks, making RSA a one-stop shop in the market.”