This content is provided by FEDS Protection.

Every federal employee has some level of liability exposure, but federal managers may be at a greater risk than they realize. Even if the allegations are ultimately proven untrue, the cost of defending against an adverse administrative action, disciplinary proceeding, or civil lawsuit can be devastating. However, Professional Liability Insurance (PLI) is available to help protect federal managers and supervisors when the unexpected happens.

What kinds of professional liability risks do federal managers face?

In today’s federal workforce, there is often widespread misunderstanding about what kinds of professional exposures federal managers are vulnerable to and how PLI helps provide protection. In addition to the exposure inherent in dealing with the public as a federal employee, federal managers also have workplace exposures stemming from their role in supervising other federal employees. Most often, PLI coverage comes into play for a manager facing a harassment/EEO, retaliation, hostile work environment, discrimination, wrongful termination, or whistleblower reprisal claim arising from actions taken in the scope of their employment. FEDS Protection provides coverage for each of these types of exposure. Federal managers are often the subject of administrative investigations and disciplinary actions for actions taken while rendering their professional service. These administrative investigations and complaints from employees have, unfortunately, become the “cost of doing business” for many managers and supervisors in the federal government.

Federal managers also have exposure to personal capacity lawsuits and criminal investigations. Every federal manager must understand:

• Federal managers can be sued.
• DOJ can deny representation.
• Managers can be held liable for a judgment.

Any one of these actions, whether civil, administrative, or criminal, can prove devastating to the career and finances of a federal manager or supervisor.

How does PLI help federal managers and supervisors? 

When faced with a workplace allegation or investigation, managers need to know their interests will be protected. The cost to defend a decision, action, or inaction can be substantial, even if the defendant is ultimately vindicated. A PLI policy protects managers by:

• Providing Legal Defense: A FEDS PLI policy provides a defense attorney for a workplace allegation, complaint, or investigation resulting from actions taken in the scope of employment. A defense is also provided if an employee is the subject of an administrative or criminal investigation or a disciplinary action resulting from actions taken in the scope of their employment.
• Paying Damages: A FEDS PLI policy provides indemnity protection if a manager is found liable for a monetary judgment in a personal capacity lawsuit resulting from actions taken in the scope of their employment and the agency chooses not to indemnify, even if the DOJ defends the case.

In recognition of the heightened exposures federal managers face, the federal government requires agencies to reimburse their managers up to 50% of the cost of PLI.  The government’s willingness to provide this reimbursement highlights how important it is for federal managers to have PLI.

Bottom Line:

Managers who don’t have a professional liability insurance policy in place may find the financial and professional consequences of an administrative action, disciplinary proceeding, or lawsuit to be devastating. Fortunately, FEDS Protection focuses on protecting federal employees through affordable legal representation and indemnity coverage. Enrollment takes just 5 minutes and a PLI policy through FEDS Protection starts at just $290 per year (before any applicable agency reimbursement)–less than the typical cost of 1 hour of an attorney’s time–providing you with peace of mind should an unforeseen event occur.

If you have questions about your specific risks or the kinds of insurance coverage available, contact FEDS Protection at 866-955-FEDS or visit us at www.fedsprotection.com. Not all policies are created equal, and FEDS Protection’s level of expertise, extensive product knowledge, and world-class customer service have made us an industry standout, trusted by leading federal employee associations across the nation.

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