Financial Institutions
Insurance

D&O, cyber, FI bond, and professional liability for community banks, RIAs, broker-dealers, and PE funds.

Insurance for Regulated Financial Entities

Financial institutions face a distinct category of liability that general commercial lines don’t address well. Regulators scrutinize your decisions. Clients hold you to a fiduciary standard. Wire fraud exposure runs in the tens of thousands per incident. And your directors and officers operate in an environment where a single enforcement action can generate seven-figure defense costs before a judgment is entered.

We work with community banks, credit unions, RIAs, broker-dealers, wealth management firms, specialty lenders, and private equity funds.

Core lines for financial institutions:

  • Directors & Officers (D&O) – with regulatory defense coverage for FDIC, SEC, FINRA proceedings
  • Financial Institution Bond – employee dishonesty, forgery, computer fraud, funds transfer fraud
  • Professional Liability / E&O – investment advice, lending decisions, fiduciary obligations
  • Cyber Liability – with full-limit social engineering coverage instead of the low sublimits most policies carry. See our Cyber Risk Practice
  • EPLI – elevated in the current talent market for compliance and advisory staff
  • Fiduciary Liability – for ERISA-governed benefit plans
  • Crime / Fidelity – structured for financial entity fraud exposures

Today’s FI Market Favors Buyers

D&O and E&O pricing in the financial institutions sector has stabilized after several years of rate increases. Capacity has returned to the FI D&O market, and cyber pricing has moderated from its 2021-2022 peak. If you haven’t gone to market on your FI D&O, E&O, or cyber in the last 12-18 months, there’s a reasonable chance you’re paying more than current rates.

We have direct access to FI-specialty carriers and wholesale markets not accessible through general commercial lines brokers. Our senior team, led by Daniel, manages FI placements directly. Additional coverage includes:

Financial Institutions Insurance FAQ

An FI Bond (Bankers Blanket Bond) is a specialized crime policy covering employee dishonesty, forgery, robbery, computer fraud, and funds transfer fraud. Banks and credit unions are typically required by regulators to carry a minimum bond amount based on asset size. RIAs and broker-dealers often carry an equivalent product for their specific fraud exposures.

FI D&O policies include regulatory defense coverage for formal and informal proceedings from the FDIC, OCC, Federal Reserve, SEC, FINRA, or state banking departments. Standard commercial D&O policies often exclude or narrowly limit regulatory investigations. For any regulated financial entity, this insuring agreement is as important as the core D&O coverage itself.

Not automatically, and often not at full limits. Most cyber policies cap social engineering coverage well below what a single fraudulent wire can cost. For a financial institution, that gap can be the whole loss. The FI bond’s funds transfer fraud clause may or may not cover losses from spoofed communications, depending on the policy language. Reviewing both policies together before a claim is the right approach.

Yes, for most lines. D&O and E&O pricing has softened from 2020-2022 highs, and several specialty carriers have re-entered the space. Cyber pricing has moderated but underwriters want to see MFA, wire transfer verification procedures, and incident response planning. If your program hasn’t been competitively marketed in 18+ months, the current environment generally favors buyers.

Fiduciary liability covers claims from ERISA-governed benefit plans (401(k), pension, health plans). Plan administrators and the firm can be personally liable for investment selection decisions, fee disclosure failures, and prohibited transactions. This is distinct from E&O, which addresses advice given to clients rather than obligations to plan participants.

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The right carrier for your asset size, entity type, and regulatory environment makes the difference at renewal and at the claim.

talk to daniel directly.

See what your current policy misses.

  • Send us your current policy and we’ll read every line

  • You get a written rundown of the gaps at no cost

  • A principal who knows your industry handles the placement