Employee Benefits Liability Coverage: Protecting Your Texas Business

Employee Benefits Liability Coverage helps protect companies from costly screw-ups when handling employee benefits. Unlike general liability coverage, EBL specifically deals with mistakes in things like health plans, retirement accounts, COBRA rules, and other benefits.

Think messed-up enrollments, giving employees the wrong info, or dropping the ball on legal duties. With workplace rules getting more complicated, EBL helps businesses avoid expensive lawsuits and claims.

What is Employee Benefits Liability (EBL) Coverage

Employee Benefits Liability Coverage  (EBL) is a special kind of coverage that protects businesses from costly mistakes in handling employee benefits.

While regular insurance deals with injuries or property damage, EBL is all about the risks that come with managing complicated benefits plans.

At Medcore Brokerage, we’ve seen it happen even to the most organized HR teams can slip up when dealing with:

• Signing people up for health insurance or canceling it
• Putting money into retirement accounts
• Handling disability benefit requests
• Managing time off and leaves
• Sending out COBRA updates
• Dealing with flexible spending accounts (FSAs)

The Growing Need for EBL Protection in Texas

Folks in Texas are getting smarter about their benefits, employees are paying attention to what’s in their compensation packages these days.

But at the same time, the rules around benefits are getting more complicated. That’s a risky combo for employers!

Risk Factor	Texas Impact	EBL Solution
Healthcare complexity	Texas has unique insurance regulations	Covers enrollment errors
Multi-state operations	Many Texas businesses operate nationally	Coordinates multi-jurisdictional compliance
Workforce mobility	High employee turnover in some sectors	Protects during transitions

Comprehensive Protection: What EBL Covers

 We’ve helped our clients snag EBL policies that cover three key things:

1. Administrative Errors Coverage

This safety net comes into play when things go wrong with everyday benefits stuff. Like, we just helped a manufacturing company in Dallas where the HR team accidentally left 12 new hires off their health insurance.

Oops! Fortunately, their EBL coverage through Medcore Brokerage took care of the medical bills for those employees until they fixed the mistake.

2. Communication Liability

Messaging up benefit info can lead to pricey claims. We work with a tech company in Houston that got sued because an employee followed old benefit details from their boss. Fortunately, the EBL policy covered the settlement and legal costs.

3. Fiduciary Oversight

While it’s not a full-blown fiduciary liability policy, a lot of EBL coverages still give basic protection for plan admin decisions. We helped a San Antonio nonprofit handle an ERISA investigation using their EBL coverage.

Why Texas Businesses Choose Medcore Brokerage for EBL

We’ve got you covered when it comes to Employee Benefits Liability (EBL)!

• Texas Know-How: We know the ins and outs of Texas insurance rules and what makes our workforce tick.
• Great Rates: We’ve got strong ties with local and national insurers to get you the best deals.
• More Than Just a Policy: We’ll make sure your EBL coverage fits perfectly with your overall benefits plan.
• Claims? We’ve Got Your Back: Our team is here to help you every step of the way if you ever need to file a claim.

Cost Considerations for EBL Coverage

“In Texas, most businesses get their EBL coverage through Medcore Brokerage. Prices usually run between 500 and 1,500 a year for small businesses (under 50 employees), 1,500 and to 5,000 for mid-sized companies, and big companies get custom quotes.

What you pay depends on stuff like how many benefit plans you offer, how many employees you have (and how often they come and go), past claims, and how good your risk management is.

Frequently Asked Questions

1. What’s the difference between EBL and fiduciary liability insurance?

EBL covers slip-ups in handling employee benefits, while fiduciary liability is about protecting you if someone says you messed up managing retirement plans or investments. A lot of Texas businesses need both, and Medcore Brokerage can help set you up with the right combo.

2. How much does Employee Benefits Liability (EBL) Coverage cost?

It depends on how many employees you have, what kind of benefits you offer, and how much coverage you need. But don’t worry, Medcore Brokerage gets Texas businesses great deals, with prices sometimes starting at just $500 a year for smaller companies.

3. Do I have to have EBL coverage in Texas?

Nope, it’s not required by law, but you’ll want it! Without EBL, you’re on the hook financially if something goes wrong with benefits admin. Our team can break down your risks so you know exactly what you’re dealing with.

4. Can we add EBL to our existing business insurance?

Absolutely! Medcore Brokerage often bundles EBL with other policies (like General Liability or Professional Liability) to save you money and keep things simple.

5. How quickly can Medcore Brokerage get me EBL coverage?

Pretty quick! Once we go over what you need, we can usually get you covered in 2-3 business days. Need it ASAP? We’ve got faster options for urgent cases.

Expert Editorial Comment 

Employee Benefits Liability Coverage is a must-have for businesses offering benefits it covers mistakes, mix-ups, and legal headaches that can cost big bucks. With rules getting tighter and employees knowing their stuff, EBL keeps you safe.

If you’re in Texas, Medcore Brokerage hooks you up with the right coverage at a good price, plus they know the local scene. Don’t risk it, get your benefits protected today!