Did you know that employee theft in the United States is estimated to be upwards of $40 billion a year?
Many businesses easily overlook it because it can take up to two years to detect. In fact, about 1 in 3 bankruptcies can be attributed to employee crime according to some sources. With employee crime on the rise, you can see why you need employee dishonesty coverage. This raises the question:
What exactly is employee dishonesty insurance?
Simply put, employee dishonesty insurance coverage protects you from financial loss due to employee theft of money, securities, or property. It is also referred to sometimes as:
- Crime coverage
- Employee dishonesty bond
- Fidelity bond
- Crime fidelity insurance
Why do I need employee crime insurance?
Unfortunately, employee fraud is a major problem for US businesses today. In fact, one resource estimates that up to 7% of all company revenues are lost each year due to fraud. Another source tells us that 80% of all workplace crime is committed by employees.
The sad thing is that this doesn't look like it will be going away any time soon. So, as a business owner, here does that leave you? Even with your best efforts to protect your business, you are at risk to:
- Petty cash "borrowing"
- Check tampering
- Vendor kickbacks
- Employee Shoplifting
- Phony invoices and receipts
Who is covered with a crime fidelity insurance policy?
As the business owner, you can be protected from theft by:
- Seasonal employees
- Temporary employees
- Former employees
- Independent contractors
To make sure you get all of the options needed, talk with an InsuranceHub agent about which of these apply to your business.
How much coverage do I need?
The minimum limits are $100,000. Talk to our agents about increasing this to $500,000 for just a small premium increase.
What a does an employee dishonesty bond cover?
Your basic employee dishonesty coverage will protect you from:
- Employee theft
- Employee robbery
- Employee safe burglaries
Talk to your InsuranceHub agent to get optional coverage to protect you from:
- Funds transfer fraud
- Computer fraud
- Credit card fraud
- Money order and counterfeit fraud
- Data theft
Types of property that are covered by employee dishonesty policies:
- Bank notes
- Travelers checks
- Registered checks
- Money orders
- Tangible property like computers and inventory