How Much Insurance Should My Bank Buy?

“How much insurance should my bank buy?” It’s the most common question I get from my bank clients. I get other versions of the same question, too.

  • How much directors’ and officers’ insurance do we need?
  • How much lender liability and bankers’ professional liability insurance should we consider?
  • What limits of insurance do banks like us buy?
  • Do we need cyber liability insurance?  How much?

I can help with those questions and other bank insurance issues you are dealing with.

Most insurance people are afraid to provide specific advice on limits of bank insurance coverage. Not me. I think this is why my clients hire me; specific, actionable advice based on knowledge of the bank insurance marketplace.

I address the problem in a few stages. First, there is a minimum coverage every bank needs.  I then suggest bankers compare the value of higher limits of coverage to the premiums charged. Said another way, is the additional insurance worth the premium the insurer wants?

In the past, I posted my minimum coverage recommendations here. I have decided to end that practice as many banks (and insurance agents) were misinterpreting my ideas.  (I’ll leave it at that…)

If you have questions about the amount of insurance your bank should buy reach out to me. You don’t need to go down this road by yourself. Let’s talk about your bank insurance coverage concerns. Contact me now to discuss your insurance concerns.  Call 207-284-0085 or email