Employee Theft Insurance – What Does It Cover And Why Would I Need It?
As a business owner, you probably trust your staff implicitly and could never imagine them stealing anything from you. But, unfortunately, this does happen, leaving well-intentioned employers like yourself left severely out of pocket and very disappointed.
Changes in personal circumstances, opportunistic thefts and sometimes just an employer gone rogue can lead to merchandise, supplies and even money going missing from your organization. Even if you don’t routinely handle cash or goods within your organization, there will still be a way for the most determined of criminals to be able to help themselves to your property.
What Is Employee Theft Insurance?
Employee Theft Insurance covers your business against the threat of losses or damages to your companies property, money or securities from any theft committed by an errant employee. Your insurance provider should be able to customize a plan that suits the amount of coverage your business will require.
You can also combine this type of insurance with other products aimed at protecting small to medium businesses to ensure that you never suffer as a result of criminal activity in the workplace.
Employee Theft Insurance is a blanket term for a range of products that are specifically designed to protect against a wide range of potential losses. These could include:
- Keeping two sets of books.
- Stealing money from the cash drawer or another safe place
- Stealing merchandise, stock or materials.
- Fraudulent bonus payments
- Altering checks and invoices
- Fraudulent payments to companies that do not exist
- Padding payroll and cash expenditures.
- Taking cash payments and not crediting them or recording them
- Altering ledger sheets
- Issuing fraudulent invoices
While you may not mind your employees helping themselves to the odd item from the stationary cabinet, or accidentally taking home office property by mistake, a member of staff who is knowingly and willfully stealing or defrauding your company should not be tolerated, and your insurance coverage is there to protect you from any losses you incur.
What Does Employee Theft Insurance Cover?
In these modern times, theft goes way beyond just finding your employee with their hand in the cash drawer. Computer fraud is rife and an employee with access to your sensitive information and payment processes could potentially steal thousands of dollars from you without it being immediately obvious.
With criminals finding news to break down physical and virtual barriers every day, Insurance providers are now able to cover a wide range of potential types of theft, including:
- Employee Theft Coverage – to protect your money and your business against theft, both from inside the organization and outside of it too.
- Depositors Forgery or Alteration Coverage – to protect your business against losses by forgery or alterations of checks, drafts, promissory notes, orders or directions to pay money that is drawn upon you or your accounts by anyone acting as your agent.
- Theft Disappearance and Destruction Coverage – to protect against loss of money and securities by way of theft, disappearance or destruction while the property is on your business and/or banking premises.
- Robbery and Safe Burglary Coverage – to protect against loss of money or securities that are held securely on your premises. This type of coverage also protects against theft for losses while your money or property is in the hands of your employee outside of the workplace but during the course of their regular working duties.
- Computer and Funds Transfer Fraud Coverage – to protect against the loss of money, securities and any other property taken from your business via computer fraud.
- Money Orders and Counterfeit Currency Coverage – to protect against losses that are not paid upon presentation or are in the form of counterfeit currency paid in exchange for goods or services.
- Public Employee Theft Coverage per Loss – to protect your money, securities, and other property when it is stolen by employees.
- Public Employee Theft Coverage per Employee – to protect your money, securities, and other property when it is stolen by employees.
Why Does My Business Need Employee Theft Insurance?
Whatever the size of your business, if you regularly employ members of staff to help, you should consider this type of insurance coverage. Whether you are at risk from major computer fraud, embezzlement of thousands of dollars or even just a chancer who does away with your merchandise or belongings, no business should be left vulnerable to theft from the people who should be there to help it grow.
Here at The Sena Group, our insurance experts can find the perfect Employee Theft Insurance coverage for your business. Speak to one of our agents today on 561-391-4661.
For more information about how The Sena Group can help you with any
of your insurance needs, please contact us at 561-391-4661.
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