Accountants Professional Liability

If you carry cyber liability coverage, you’ll likely need to budget for much higher premiums going forward.

One of the biggest risks to an accounting firm is an accusation that their mistakes caused a clients’ financial loss.

Errors happen. A few wrong calculations could result in a client being assessed a tax penalty. Errors in financial statements can negatively impact the purchase or sale of a business. A lack of organization often results in lost documents and missed deadlines.

The worst time to discover an insurance policy doesn’t cover a specific incident is when you file a claim expecting a payout.

Many homeowners thought their property policy would cover flood damage from a heavy rainstorm before learning they needed a separate flood policy.

Workers have filed claims for disability insurance benefits only to be told that being physically able to work in another job voids their claim.

Several businesses have learned too late that their general liability insurance does not cover the costs of a cyber attack.

With most types of insurance, there is an underwriting process. This involves assessing the risk that an insured party will file a claim to receive policy benefits. With life insurance, underwriting involves the risk of death. With auto insurance, you are rated on how likely you are to be in an accident.

The underwriting process is the main determining factor of how much a policyholder will pay in premium for insurance coverage. The more risk you pose to the insurer, the more you will pay.

Law firm and accounting firm databases are a virtual treasure chest for hackers: confidential financial data, privileged communications and other potentially damaging information.

A cybersecurity analysis of thousands of global law firms conducted at the beginning of 2020 found that 15 percent of firms analyzed showed signs of compromised networks.