Commercial Crime Insurance - type of business insurance designed to protect a business from losses due to third party fraud

ma-bh
Traditionally Fidelity Guarantee Insurance Policy is taken by business houses, but Commercial Crime Insurance Policy offers more wider cover. Comparison between Commercial Crime & Fidelity Guarantee Insurance Policy is attached herewith.
With technological developments in business operations growing at a rapid pace, small business owners are becoming more and more prone to fraud involving computers. Moreover, as businesses adjust to an economic downturn, businesses are downsizing and being involved in takeovers, which increases the probability of employee dishonesty, theft and third party fraud. Although many small business owners have solid internal controls, there’s always a possibility that these controls can be breached by third parties or even employees. Fortunately, commercial crime insurance can be the fail-safe that many small businesses need.
Commercial crime insurance is a type of business insurance designed to protect a business from losses due to third party fraud or employee fidelity. Business crime causes a certain degree of uneasiness for any business, regardless of the security measures in place. Commercial crime insurance protects the small business owner from employee dishonesty, theft of money (or securities), burglary, robbery, forgery and computer fraud.
For instance, if a robber steals your cash or an employee steals your inventory, you’re covered if you have commercial crime insurance. Further, working through crime losses, not only takes money, but also your time — both are resources that would be more suitably spent on growing the business.
Commercial crime insurance is important for many small businesses, but it is especially important for those businesses that deal in cash, checks, online payment systems and credit cards. Limits are typically specified and distinguished for on and off-premises losses. Protection may cover property, merchandise, cash or securities.
Commercial crime insurance can be written as a separate, standalone package or it can be written with your commercial package policy. Either way, employee theft and third party crime and fraud are real possibilities to your business. The advantage of having a separate, standalone commercial crime insurance policy is that it allows you to customize coverage for specific needs of your business. On the other hand, having commercial crime insurance included with your commercial package insurance policy is easier for some business owners since it’s one comprehensive policy. Keep in mind that crime insurance isn’t something automatically covered in a commercial package policy without specifying its inclusion.
A small presentation is also attached herewith for your easy understanding.
2 Attachment(s) [Login To View]

If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute