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Tuesday, October 10, 2006

Travelers Shields Fund Directors

by: Neil Anderson, Managing Editor

A Saint Paul, Minnesota-based insurance company is offering a new way for mutual fund directors to protect themselves from their funds' troubles. Travelers announced Tuesday the release of Travelers SelectOne Broad for Mutual Fund Directors, which covers fund directors "for non-indemnifiable claims or those where underlying insurance does not respond."

The idea, according to Steve Boughal, second vice president of mutual funds and investment funds at Travelers, is to to protect personal assets.

"Many mutual fund directors, particularly those who are independent directors, want to ensure that their responsibility to the board doesn't end up affecting their personal assets," Boughal stated. "This broad form will provide directors with that added level of protection." 

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