What Crime Insurance covers
As a surveillance company, we are always trying to help clients reduce the likely hood of having theft or other crimes committed at their properties or to their employees and customers. However, not all risk can be completely eliminated.
The U.S. Chamber of Commerce estimates 75% of employees steal at least once, that the incidence of employee theft is 15 times greater than external theft, and that 30% of business failures are caused by employee theft or embezzlement.
Fewer than 16% of the companies that fell victim to employee theft in 2016 made a full recovery of their losses either through restitution, insurance claims or other means, according to the 2017 Report to the Nations on Occupational Fraud and Abuse published by the Austin, Texas-based Association of Certified Fraud Examiners. Between 40% and 50% of victimized organizations did not recover any of their fraud losses, the report found.
Therefore, it is important to take additional steps in case a crime is committed. Crime Insurance covers many of the difficulties that arise from criminal activity. Many crime-related activities are not covered by commercial insurance policies. While policies vary, here is a brief overview of what a Crime Insurance policy may cover.
Forgery or alteration coverage
Theft of money and securities coverage
Burglary or robbery coverage
Computer fraud coverage
Theft outside the premises
Funds transfer fraud
Counterfeit money and Money Order fraud
Employee dishonesty coverage
Your business property insurance may not reimburse you for the theft of cash and checks. But with a commercial crime insurance policy your cash may be protected from all covered losses.