Accountants Insurance Overview
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Our accountants insurance program is designed to get you customized coverage and
service with trouble free claims management. With our experience in the accounting
and financial services industries, you can be sure we’ll get you the right coverage
at the best possible price. When losses do occur, our team of professionals work diligently
to make sure our clients are back on their feet as quickly and seamlessly as possible.
“Considering the recent craziness in the financial marketplace, insurance companies
have become very skittish when it comes to professional insurance policies - especially
with regard to financial advisory operations like accounting firms and consultants.
The folks at Desmond Insurance have been great keeping us apprised of any insurance
market changes. In this delicate economy, they've also helped us mitigate unnecessary
risks in our business so we don't run into any insurance renewal issues. They
are certainly professionals and very knowledgeable of the insurance business. Thanks
again to the Desmond Insurance team for all your help and great customer service.”
Mike Bach
Owner, Michael P. Bach, CPA
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Recommended Accountants Insurance Coverages
Insurance for accountants, CPAs and financial advisors falls into four general categories:
- The first is property insurance. Property exposure
consists for the most part of office operations. Accountants must also protect any storage
of customers’ records. The loss of records could deal a significant blow to an accounting
firm.
- The second is inland marine coverage. This insurance
covers accounts recievable, computers and valuable papers. It also covers customers'
papers on file; some of which are original and difficult to recreate. We advise
our insureds to keep valuable papers and disks in fireproof file cabinets
to protect them from smoke, water and fire.
- The third is crime. Crime exposures come primarily
from employee dishonesty. An especially serious exposure is employee dishonesty
related to client’s property and records. In additional to proper insurance, accountants
can mitigate this risk by implementing methods and procedures to prevent employees
from gaining access to clients’ property and taking it.
- The last - and arguably the most important - is Professional
Liability coverage. This coverage protects the accounting firm or CPA when a
client sues due to any number of performance based issues (e.g. taking action without
client approval, poor money management decisions, etc.). We advise our clients to
make sure all tasks requiring a professional accountant are handled by
a professional; not a clerk or assistant. We also suggest (or confirm) various error
checking and documentation procedures.
Optional Accountant Insurance Coverages to Consider
Business Income with Extra Expense - If something happens to the accounting
office(s) like a fire, a theft or a natural disaster, it is important bills and
employees continue to get paid. It might also be necessary to set up an office in
another building. This coverage will make sure ongoing bills and wages are paid.
Extra Expense coverage will allow you to temporarily set up shop elsewhere until
repairs are made.
Business Automobile Liability (especially hired and non-owned)
- If your firm's representatives make house calls or find themselves on the road
conducting business, it is important get auto coverage. Personal auto policies aren't
meant to cover you or your employees while on the road for business purposes. Furthermore,
your accounting business will be liable if an accident occures with injuries or property damage.
To speak with one of our business insurance specialists, please fill out a
request for more information or call our office
toll-free at
(800) 783-5105.