An ethics group has come out with an errors and omissions insurance program aimed at “low-risk financial professionals.”
The National Ethics Bureau, San Diego, an association for financial professionals who have passed a voluntary, 7-year background check, says rates for its new Preferred Risk E&O program will reflect the fact that successful applicants must answer a series of screening questions.
The E&O program and the screening process are open to non-NEB members as well as to NEB members, the association says.
The program is open to advisors with mutual funds-variable products licenses and to advisors with investment advisor representative licenses as well as to agents with life-health licenses.
Marsh Consumer, a unit of Marsh McLennan & Companies Inc., New York, is administering the program.
CNA Insurance, a unit of CNA Financial Corp., Chicago, is underwriting the coverage.