How Much Insurance Should My Bank Buy?

“How much insurance should my bank buy?” It’s the most common question I get from my banker 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.

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. My Recommended Bank Insurance Minimum Limits Matrix provides this benchmark. 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?

The 2019 Eleventh Edition of my recommended minimum limits matrix can be downloaded HERE.

You don’t need to go down this road by yourself. Let’s talk about your bank insurance coverage concerns.