Why Insurance Agencies Need Commercial Crime Insurance
Crime is an unfortunately inevitable part of the business world. Offices and employees may present tempting targets for thieves and other perpetrators. Despite working to protect clients financially, insurance agencies themselves are far from immune to the potentially devastating consequences of crime.
Criminal acts that originate from within a business itself can be particularly damaging and difficult to prevent, as trusted parties, such as its own employees, could have ample opportunity to commit crimes. Furthermore, insurance agencies and other businesses should understand that while commercial property insurance may often cover criminal acts perpetrated by outside parties, internal threats may be excluded. That’s why commercial crime insurance should be a top priority.
What Is Commercial Crime Coverage?
Commercial crime insurance can help fill coverage gaps left behind by other policies, such as commercial property insurance. While it may be unpleasant to consider such possibilities, even employees and other members of your organization whom you implicitly trust could eventually betray you. Specifically, commercial crime insurance can help a policyholder recoup losses arising from the following:
- Illicit transfer of funds
Why Do Insurance Agencies Need This Type of Coverage?
Insurance agencies are often involved in key financial dealings between carriers, clients and other parties. This level of responsibility means that even a slight disruption of operations or minor crime-related losses could have far-reaching consequences. Additionally, having commercial crime insurance may help inspire confidence in other parties with whom an agency conducts business. This could open new doors and enhance prospects while also establishing a key form of financial protection against criminal acts.
We’re Here to Help
Contact U.S. E&O Brokers today to learn more about how commercial crime insurance can help cover an insurance agency’s tangible assets and secure its financial interests.
This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.