Professional & Cyber Liability

Crime and Employee Dishonesty

Employers do not realize how vulnerable they are to dishonest employees. When considering the possibility of an employee stealing goods or services or embezzling company funds, your first reaction is most likely, "My employees are like family. They would never steal from me." Unfortunately this is far from the truth, and far more common than you might realize. We can tell you from our own personal experience with a bookkeeper who embezzled company funds. This employee was a trusted member of our organization. Unfortunately she was also a criminal who was extremely adept at concealing what she was doing. We had Employee Dishonesty insurance and our insurance carrier reimbursed us for the majority of our loss, and we learned some important lessons in steps that can be taken to prevent employee theft.

In these economic times, even people who are not "criminals" can commit these acts for a variety of reasons:

  • If the opportunity is there and no controls are in place it can be a temptation that is difficult to resist.
  • An employee who has a grievance against the company might feel they are "entitled" to take something they believe they are owed.
  • Economic pressures from gambling, divorce, serious illness, etc. can drive even a "good" person to commit such acts.

An Employee Dishonesty policy can provide:
  • Coverage for a loss involving money and other property committed by the fraudulent act of an employee.
  • Coverage for your employees while working "off-premises" at a client's office.
  • Funds transfer fraud.
  • Forgery or alteration.




Important Note - The information on this site is general in nature. Any description of coverage is necessarily simplified. Whether a particular loss is covered depends on the specific facts and the provisions, exclusions and limits of the actual policy. Nothing on this site alters the terms or conditions of any policies. You should read the policy for a complete description of coverage. Coverage options, limits, discounts and deductibles are subject to availability and to individuals meeting underwriting criteria. Not all features available in all areas.