Liability Insurance for Federal Employees and Contractors

Federal Workforce Changes Leave Federal Managers Vulnerable

Downsizing Dilemma
 
Last month, President Trump signed an executive order continuing his administration’s focus on downsizing the federal workforce. Many of the initiatives have been spearheaded by the newly established Department of Government Efficiency (DOGE). Agency leaders have been advised to prepare for large-scale reductions in force that have the potential to create serious challenges for federal managers.

Large-scale downsizing could pose several problems for federal managers, such as increased workloads for remaining employees and allegations of wrongful termination from those that have been let go. An increased workload could lead to burn out, errors, and a drop in efficiency, all of which will reflect poorly on managers. Widescale layoffs may lead to a decrease in morale amongst remaining employees, effects that could be blamed on the federal managers in charge of these workers. Managers could also face the bulk of the backlash for carrying out a majority of the reductions in the last few weeks, whether they agreed with them or not. With these new directives, federal managers may come under fire for simply doing their job. If that happens, it is crucial that you have the tools to protect yourself – a professional liability insurance (PLI) policy from FEDS Protection can help. 

Conflicting Commands
 
OPM has also begun sending weekly emails instructing federal employees to explain their accomplishments of the previous week. The initial email, sent out with little warning, prompted mass confusion among the federal workforce and a search for appropriate guidance from any resource—especially management. Federal managers were placed in a very difficult position, with often-times conflicting guidance from OPM, agency heads, and local management. For instance, HHS employees were given opposing instructions from different levels of agency management. Confusion amongst employees can undermine the efforts of federal managers to provide accurate instruction in this ever-changing environment and can leave federal managers vulnerable to allegations of mismanagement from their employees, as well as allegations of failure to follow instructions from agency leaders.

With the many conflicting guidelines that directly impact employees, the professional exposures of federal managers and supervisors continue to increase. When employees and agency heads are looking to place blame, managers will be subject to allegations and investigations for their actions taken and instructions given based on the evolving administration. Allegations and investigations can lead to disciplinary actions – which may lead to suspensions and terminations – being taken against you, or personal capacity lawsuits. If an allegation is made against you, it is a necessity, not luxury, to have knowledgeable and effective counsel advocating on your behalf.

Protecting Personnel
 
As the professional liability insurance (PLI) provider endorsed by the leading federal employee associations, FEDS Protection offers federal employee PLI policies with $1 million, $2 million, or $3 million in civil liability protection for attorney’s fees and indemnity costs in the event you are sued in your civil capacity.  The FEDS policy also includes $200,000 of legal representation coverage per incident for administrative actions and $100,000 of coverage for criminal defense costs.  
Annual premiums for FEDS Protection PLI start at $290.  Additionally, federal managers, supervisors, and law enforcement officers are eligible for a reimbursement of up to 50% the cost of their PLI policy through their agency. To learn more about how a FEDS PLI policy can protect you and your career, visit www.fedsprotection.com or call (866) 955-FEDS, M-F 8:30am-6pm to speak directly to a representative.

*This article is provided for informational purposes only and does not constitute legal advice.

Are You Leaving Federal Service and Considering Government Contracting?
 
If yes, consider FEDS Protection for your government contracting insurance needs. At FEDS Protection, we also support Federal Contractors by providing insurance coverage specifically tailored to meet the unique needs of today's federal contractors, including Professional Liability, Defense Base Act Insurance, and Foreign Liability coverage.  In our experience, many small businesses need assistance in navigating the insurance portion of a government RFP.

The federal government is our specific focus and area of expertise. If you are looking to review your current or upcoming insurance needs, including the unique insurance requirements of any contract involving civilian employees overseas (requiring DBA Insurance and Foreign Liability coverage) please contact us at 866-955-FEDS (3337) or dmoylan@fedsprotection.com.

Did You Know? 
 
March is recognized for Women’s History Month to acknowledge the incredible – and often overlooked accomplishments of women in the United States and countries around the world. Originally beginning in 1911, International Women’s Day grew in popularity from academic workbooks to the White House. President Carter proclaimed the first Women’s History Week in 1980, which later, became the celebration of the entire month in 1987.  

There are so many achievements that women have done in the United States and throughout the world – from famous firsts to having the fortitude to forge ahead during trying times to make the country a better and safer place to live and work. We are honored to serve you and provide peace of mind.  

Testimonials
 
""When you're the subject of an internal investigation, you can call a friend because you're upset, but they can't help you. FEDS can. Make FEDS your friend.”

- Dr. Jean Kanokogi (FLEOA Director of Mental Health and Peer Support)

Radio & Webinars
 
Contact us if you or your agency are interested in a webinar or brochures that provide federal employees best practices on how to protect themselves with a federal employee professional liability insurance policy like the one offered by FEDS Protection. FEDS Protection webinars are a valuable resource for learning more about the specific professional exposures for federal employees, PLI in general, and the FEDS Protection program. Check our library and upcoming events in the links below to access content that speak to your position in the federal government.

Tuesday, March 18 at 6:30pm 9 (ET): How Professional Liability Insurance Can Protect Federal Executives



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CA Lic No. 0778135. No claim to any government works or material copyrighted by third parties. Nothing on this website constitutes an offer, inducement, or contract of insurance. Financial strength and size ratings can change and should be reevaluated before coverage is bound. FEDS supports a diverse workforce and is an Equal Opportunity Employer who does not discriminate against individuals on the basis of race, gender, color, religion, national origin, age, sexual orientation, gender identity, disability, veteran status or other classification protected by law. Drug Free Workplace.
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