Potential Claims Filed Against a Fiduciary of Employee Benefits
Occasionally, mistakes are made in regard to a business employee benefits plan. These mistakes can be costly for both the employees and the business. Taking a look at some common claim examples can help you to better understand what dangers to look for.
Common Reasons a Claim Is Filed
When it comes to employee benefits, fiduciaries need to be careful about how information is handled and how advice is given. Something as small as a simple miscalculation or lack of communication can result in financial damage for the fiduciaries and for employees under a benefit plan. If an employee believes any of these situations have occurred, they can sue the fiduciaries and other individuals involved. The information found on axisins.com explains about some examples of fiduciary liability claims, such as the following:
Missed or improper calculations
Mishandling of funds
Poor advisement for investment opportunities
Administrator errors due to inaction or delays
Protecting Employee Benefits Programs
There are multiple scenarios in which a claim may be filed against fiduciaries regarding employee benefits, as shown by the claim examples above. If employees are aware of these situations and know their rights regarding their benefits, they can take action. On the other hand, it is equally as important for fiduciaries and others involved with employee benefits to handle these plans responsibly and with the utmost of care.