Protects fiduciaries of employee benefit plans from damages due to alleged 'wrongful acts' or breaches of professional duty. Fiduciary liability insurance covers companies sponsoring employee benefit plans as well. ERISA compliance adds a degree of complexity to managing employee benefit programs and provides another angle for parties to file a lawsuit. Every company, and every fiduciary managing benefit plans should consider their potential liability, including defense costs, as part of their risk management program. Often, Fiduciary Liability Insurance will make sense as a risk mitigation measure.