The threat of losses due to crime/fidelity is ever-present with constantly evolving technology and increasingly advanced illegal activity. No organization, whether large or small, is immune to crime. Callahan Risk understands the importance of this insurance and will ensure your business is protected.
What is Crime/Fidelity Insurance?
Crime/fidelity insurance protects your business against illegal internal, and external crimes. This insurance acts as a shield against the devastating effects of financial loss due to criminal activity. Crime/fidelity insurance is crucial to a comprehensive business insurance portfolio because you never know when criminals will strike.
The threat of crime/fidelity has increased over the past few years, especially with the recent implementation of AI to identify targets. The sophistication of crimes is advancing at a rapid pace, so the need for crime/fidelity insurance is becoming even more vital.
What Does it Cover?
Crime/fidelity insurance covers losses and any legal fees associated with litigation due to criminal activity committed against your organization including but not limited to:
- Employee theft
- Employee dishonesty
- Computer fraud
- Impersonation
- Forgery
- Robbery and safe burglary
- Embezzlement
- Social engineering or payment diversion
Statistics
According to a recent report by the Association of Certified Fraud Examiners (ACFE), organizations lose an average of more than $1.5 million per fraud case. In addition, it was estimated that organizations lose 5 percent of revenue to fraud per year. Globally, it was reported that fraud losses equate to $5 trillion each year. Not only do global companies feel the effects of illegal activity, but small businesses are specifically targeted for fraud accounting making up 30 percent of all fraud accounting cases.
Businesses Most at Risk
Financial Institutions: Insurance agencies and brokerages, accounting firms, and other financial institutions are particularly susceptible to employee dishonesty and fraud
Tech Companies: IT consulting firms, computer programming, and other technology companies are vulnerable to embezzlement of funds and other sophisticated criminal acts
Professional Services: Services such as management firms and marketing firms are targets for fraud and social engineering
Nonprofit Organizations: Nonprofits face sufficient risk due to their unique vulnerabilities, leading them to become targets for computer fraud and other crimes
Why Callahan Risk?
Callahan Risk has the right experience and expertise to protect your business against crime/fidelity in today’s climate. We work closely with our carriers to ensure your policies fit your unique needs and adequately protect your business. Contact Callahan Risk today with any inquiries regarding crime/fidelity insurance.
