The Insurance Family Blog

Employee Dishonesty Coverage Concerns

Posted by Susie Scherff on July 27, 2010 at 4:13 PM

One day a client called me and asked, “Did I ever buy that employee dishonesty coverage you told me about?” Unfortunately I had to tell him no. My client ran a small wholesale business. He just found out that over a few years one employee had stolen about $500,000 from him with the help of his CPA

Such scenarios unfortunately are common among small- and medium-sized businesses. The median loss suffered by businesses with fewer than 100 employees was $200,000, says a 2008 study by the Association of Certified Fraud Examiners (ACFE). Check tampering and fraudulent billings were the most common small business fraud schemes.

All businesses need to be concerned with employee dishonesty. Because employee dishonesty losses are not typically covered by most property insurance policies, or they include a low limit, most businesses are not covered properly when a loss occurs.

Call Sutherland-Scherff Insurance and we can help you determine the limit that is best for you at a price you can afford.
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Topics: Business Owners Insurance, restaurant insurance, Employee Dishonesty Coverage