accountant professional liability

What Liability Risks Do CPAs Face?

Accountants may face a variety of professional liability issues. Some areas of concern could include mergers, engagement documentation, wealth transfer, fraud and data protection. An accountant professional liability policy should cover many of these risks. As a CPA, you may want to be aware of these risks and make sure your insurance plan provides adequate protection.

When two CPA firms merge, it is usually one of the highest exposure events they will face. It usually important to do your due diligence when investigating a firm you are interested in acquiring. Look at their claim history and peer review history. You may want to make sure you are not buying any potential legal issues.

Engagement documentation is usually a CPA firm’s first line of defense against professional liability claims. It should outline the scope of the services to be provided. It should also be signed by the client and be updated each year.

When a CPA is called to act as a trustee, financial advisor or executor for a client, potential liability issues may arise. There is a fairly low evidentiary threshold when it comes to an accountant’s duty to a client. If an individual can show that you had a fiduciary duty and that duty was breached, you may be facing a significant lawsuit.

Fraud and data protection may be the result of rogue employees, but your firm may still be held responsible. Accountant professional liability insurance could help protect you against claims.

Your CPA firms should make sure they have an appropriate level of insurance to cover any claims that may be brought against them.

Professional liability insurance for bankers

3 Best Traits of a Bankers Liability Insurance Provider

Professional liability insurance for bankers is not an option, it’s a necessity. With the various risk exposures in the financial industry, it’s more important than ever to protect your bank’s assets. It’s equally important that you work with a carrier who offers the right solutions that address the unique needs of your institution. While there are many agents offering this type of coverage, there are certain traits to look for when you research providers. These attributes are criteria that can help you choose the carrier that’s well-suited for your bank and its stakeholders.

Selecting the right insurer is a critical aspect for getting the best coverage for your institution. Ideally, you want an agency that has a long track record of working within the financial services sector. Years of experience and knowledge are key factors when addressing your company’s specialized services and operations. A carrier with a diverse product line ensures that all your banking insurance needs are managed under one roof. Above all, quality customer service is a must. Review client testimonials, because you’ll get a clear picture of what to expect from the agency.

There are many providers offering professional liability insurance for bankers. When you know what traits to consider, you’ll select a carrier that is a right fit for your Institution.

auto liability insurance broker

Being Comfortable With Your Trucking Insurance Broker

When it comes to auto insurance coverage for your company’s transportation services, being comfortable and well informed is vital. An accident can happen at any moment. You need to make sure that if and when it happens, you are prepared. The first step towards being confident in your coverage plan is being comfortable with your auto liability insurance broker.

Your insurance broker is often your point of contact when you are signing up for a coverage plan and when one of your trucks gets into an accident. Your broker will be able to help navigate you through the confusing process of finding out the extent of your coverage and what costs it can help with. In order to be comfortable with your broker, make sure to ask him or her plenty of questions about your coverage and explain your situation. Remember, your insurance broker is there to help you.

It is important to know that you can often rely on your trucking insurance broker to help relieve some of your worries about accidents and coverage. If you are open with your broker about the transportation coverage needs of your business, the broker should be able to accommodate you. Your auto liability insurance broker is a teammate you can count on.

Liability in accounting

Accountants’ Level of Liability

If you are a certified public accountant, you probably owe your clients a duty of care. This means you can potentially be sued for negligently performing your duties as well as for fraud. This is because your opinion usually carries a lot of weight and may affect a client’s judgment. Liability in accounting is often high. Accountants should take the necessary precautions in case any claims of breach of duty are brought against them.

Accountants may even be held liable for their client’s accounting misstatements. This often requires that you be knowledgeable and vigilant. Accounting firms could face many legal liabilities including wealth transfer, engagement documentation, merging with another firm, data protection and fraudulent activity. In our litigious society, claims can happen against even the best, most meticulous practitioners.

Professional liability insurance may be able to help you mitigate some of these risks. There are policies designed to protect accountants specifically. Because CPAs are held to a higher standard, insurance is likely more important to you. You may be held responsible for your clients’ financial losses and gains.

As a CPA, you are usually in a high-risk category. The evidentiary threshold may be especially low if you, as the accountant, have a fiduciary duty to your client. If you don’t have a fiduciary relationship, you usually must exhibit a reasonable professional standard of care. Because liability in accounting is so high, it is important that you consider investing in suitable insurance and talk to a provider that is familiar with your line of business.

auto sales workers comp insurance

Why You Need Customized Workers Compensation Insurance for Your Auto Sales Business

Running an auto sales business comes with a variety of challenges. While keeping up with sales and pleasing your clients is important, protecting your employees as they detail autos, accompany customers on test drives and keep your cars running smoothly can be key elements in the success of your business as well. Finding specialized auto sales workers comp insurance can help you cover all your bases and ensure the protection of your employees.

Employees that work as mechanics on your site can be at risk for a variety of injuries. Tools or system failures that cause injuries to the hands or feet and falling objects which might result in head injuries can be common. Insurance that specializes in covering such issues can give your employees peace of mind as they work and give them greater confidence in you as an employer.

While proper training can help minimize employee accidents at your auto lot, incidents can still occur. Car doors and trunks can close or be closed without warning or an employee might be struck if a car rolls unexpectedly. Being protected by auto-specific workers compensation might provide you with a wider blanket of coverage for such accidents.

Auto sales workers comp can cover your mechanics, detailers and salespeople. No matter the size of your business, this specialized insurance might be your first line of defense against unforeseen accidents and injuries.

Masonry Workers Compensation

Why the Construction Industry Needs Workers Compensation Insurance

Most small and large business owners in this day and age realize that a good worker’s compensation insurance is not only highly important but that it is considered a must. Especially the construction industry faces unique risks and challenges on a daily basis and it’s important for contractors, such as masons, to be adequately protected. Masonry Workers Compensation insurance should be part of construction companies’ insurance portfolio no matter how big or small the business may be.

While there’s usually a high demand for the services of the construction industry, there are also slow times, such as during an economic crisis, that can lead to a high unemployment rate among contractors. A slow or declining economy can hit businesses in the construction industry very hard financially, sometimes even harder than other industries. Additionally, it’s not unlikely for contractors to injure themselves or get sick on the job. When unfortunate accidents or incidents like these happen, covering the expenses associated with lost wages, medical bills and other compensation could become very costly. Not to mention any legal expenses if a contractor decides to file a lawsuit.

A single incident can have far-reaching consequences for construction businesses. Not only can it lead to lost productivity, it can also lead to enormous expenses that – without proper insurance – would have to be covered somehow. Worker’s compensation insurance, such as in the form of masonry workers compensation insurance, provides a safety net that covers these costs and allows construction workers to focus on their business.

Freight insurance

Supply Chain Agents Who Need Insurance

One shipment of goods can go through many hands over the course of its route from manufacturer to the merchandiser. While the goods may be insured for liability, if a handler mis-stores or mis-ships the freight in the process, the carrier, warehousing agent or broker could be held liable. Freight insurance is available for each agent involved in the process, including:

  • Companies that have a global supply chain, whether you’re an importer, exporter, distributor, wholesaler or manufacturer
  • Third-Party Logistic Providers (3PLs), brokers, rail transporters, consolidators, air cargo agents and freight carriers
  • Customs brokers who could make a mistake in the shipping process
  • Freight forwarders and firms that specialize in storage of merchandise on behalf of shippers

Discuss your liability risks with your insurance agent to have a financial protection that manages your exposure, without paying for policies that don’t cover your business. Specialized insurance, loss prevention, and risk management benefits your business and ensures that you can keep up with the industry. Although it’s easier than ever to track shipments through technology, that doesn’t protect your business against loss.

The transportation industry is rapidly changing and emerging to meet new technologies, tougher regulations and a demanding clientele. Work with your insurance underwriter to have the protection you need. Insurance is changing to meets the demands of the industry.

temporary staffing insurance

Protect Your Firm Against Bad Hires

If you’re in the business of hiring temporary employees for businesses in your area, you know better than most how risky the staffing business is. Temporary placement is particularly difficult, as you need to find someone who is looking for temp work but who is reliable, trustworthy and hardworking. That combination can be difficult, as individuals who are the latter three things are generally looking for full-time employment. That said, it is not uncommon for staffing agencies to make what they believe to be good hires, only to be slapped with an E&O suit months later. To protect your business from professional liability suits, invest in temporary staffing insurance.

Temporary staffing coverage is designed to protect agencies that specialize in temporary staffing from class action suits dealing with negligent hires, temporary employee misconduct, financial loss as a result of a poor placement or failure to provide specified services. Professional liability suits can be costly and time-consuming, and without the right coverage, they can result in financial devastation. The right coverage can cover costs associated with a lawsuit and any damages accrued by a frivolous claim.

Though you may do everything in your power to prevent liability lawsuits, they do happen. Protect your firm from financial devastation when a claim does arise, and pick up a temporary staffing insurance policy today.

Axis management liability coverage

Two Types of Liability Require Two Types of Insurance

Many company executives mistakenly believe that their company’s umbrella policy covers just about everything they’ll ever need from insurance protection. Axis management liability coverage is a separate issue, however. It can be confusing to consider all the different types of insurance available for your business; it can help to think of your needs as falling under two main areas, each requiring a different type of protection.

Bodily Injury/Property Damage

A business with an umbrella policy has a type of liability insurance, which raises claim limits in cases of catastrophic losses in the dual category of bodily injuries and property damage. The umbrella policy complements other liability policies, which can include general liability or an automobile policy for commercial businesses.

Management Liability Insurance

Axis management liability coverage protects individual officers, directors and other types of managers, as well as the company itself. Claims made against the company and its officers in this category include:

  • Management errors and omissions
  • Misleading others about company assets
  • Misusing corporate funds
  • Failure to follow laws
  • Lack of corporate governance
  • Unfair employment practices

In these cases, the claims are financial instead of physical. Management liability insurance protects the personal assets of company officers and board members. This type of coverage applies to all legal costs to defend against the lawsuit, as well as paying for any settlement or award amount.

CPA malpractice insurance

Why CPAs Need Malpractice Insurance

You might have heard of malpractice insurance for doctors and other medical professionals, but what about malpractice insurance for CPAs? It might not seem like something in the realm of possibility, but CPA malpractice insurance can be a valuable way to protect both yourself and your accounting firm in the same way that malpractice insurance protects healthcare professionals.

Errors and Omissions Insurance

CPA malpractice insurance is actually a term for errors and omissions insurance, more commonly known as E&O. With E&O insurance, you’re covered from damages caused by an error any of your employees may have committed when working with a client. This insurance protects your business from taking personal losses in the event of a claim, making it a smart investment for any CPA firm.

Protect Yourself From Claims and Lawsuits

Many CPA firms consider themselves protected from lawsuits, or think they may be too small for clients to sue. This is a dangerous assumption that can result in liability for extensive damages that can bankrupt the business on a budget. Even one lawsuit can result in damages so extensive that some companies may never recover from the losses. Don’t take the risk. Protect yourself with a proper professional liability insurance package structured to the size and needs of your business.