Insurance for Accountants
Thursday, 16 January 2020
Whether you are a professional or a beginner, the best way to protect your business is having the proper insurance. When it comes to starting your own accounting practice, finding the right insurance to suit your needs can be hard to navigate at first. You want to make sure you speak to a broker who is familiar with businesses like yours and experience working in this industry. Accountants can be considered low risk when it comes to physical risks to people and property, however, they still have liability risks in other ways that can be critical to their business.
If you're ready to get a quote, you can complete your quote and buy online today!
Professional Liability Insurance for Accountants
Professional liability insurance is also known as errors and omissions insurance or professional indemnity insurance. In accounting, precision can be of utmost importance. Mistakes can happen and this may result in lawsuits against your company. Professional liability insurance can help cover your defense costs, such as attorney fees and court costs, as well as any settlements you might have to pay.
Although having years of experience can lower your chances of finding yourself in a lawsuit, it does not eliminate it. Professional liability insurance will help protect you and help secure the future of your business.
Your policy can include coverage for actual or alleged errors, professional negligence, omissions, misleading statements, breach of duty and any claims resulting from professional services that are provided.
General Liability Insurance for Accountants
General liability insurance helps protect your business against third-party claims that arise from bodily injury and property damage, and any medical bills or legal costs that relate to these claims. If you lease an office space, or visit clients at their homes, you should have general liability insurance.
If you or one of your employees were to damage your clients’ home or property, this would help cover it. Additionally, if there were damage caused to the building you lease or own, you would be covered by general liability insurance as well.
Other Types of Insurance Coverage for Accountants
Cyber Liability Insurance: Cyber crime has been an increasing threat as technology keeps evolving. Cyber liability insurance will provide coverage against cyber-attacks and data breaches as well as any loss in data and software. It is common for accounting businesses to store Personal Identifiable Information (PII) of their clients on computer databases, making it very wise to buy this increasingly important insurance coverage.
Some small accounting businesses can benefit from a business owners policy, a policy that bundles multiple types of insurance coverage including professional liability and general liability. A business owners policy depends on the specific characteristics of your business, so make sure to talk to an experienced insurance broker when finding coverage for your business.
Any accounting business or practicing accountant should have insurance. Errors made by an accountant can result in devastating losses for other individuals or companies. No matter how experienced you are, having this coverage can put your mind at ease and ensure you can cover the cost of any legal situations that arise.
We recommend taking time to talk to one of our trusted BIG insurance brokers who specialize in these types of insurance policies. Insurance for small businesses is not something that can be simply copied and pasted, it takes time to figure out the limits of coverage you need that is unique to your business.
You can also start your quote right now, online!