Accountant insurance

Insurance for accountants

Looking after someone else’s finances is a responsibility. Although, quite how much is your responsibility isn’t immediately obvious. Until something goes wrong.

But make a mistake with your client’s money, and one thing’s clear. You’ll be called to account.

Problem is, negligence claims aren’t just expensive to fix, they risk your reputation.

• Why do I need errors and omissions insurance for accountants?

  What if your client fails to report income on a 1040 you prepared? An IRS audit lands them with heavy fines and back-taxes. And guess what? The client blames you.

  It’s not your fault. But even if a claim’s groundless, you still have to defend yourself. Your good name’s on the line. Attorneys, legal fees, damages… costs can run into thousands. Finding the money yourself might put you in the red.

  Errors and omissions insurance (E&O) is coverage you can bank on. It can take care of your defense costs. And damages, too, if you’re liable.

  Coverage worth having then? Go figure. The only fuzzy factor is the policy’s name - errors and omissions insurance is also known as professional liability insurance.

  What matters, is they do the same thing. Protect your business, keeping your reputation intact, and your bank balance, too.

• What does our E&O insurance for accountants cover?

  • Claims made against you for professional negligence, whether you’re at fault, or not
  • Claims arising from work you’ve done in the past
  • The cost of an attorney and your legal defense
  • Damages, if you’re found liable
  • Claims made worldwide – so long as they’re filed in the U.S., a U.S. Territory, or Canada.

• What other kinds of insurance do accountants need?

  Errors and omissions insurance can’t protect your business from everything. It won’t cover bodily injury claims, for example.

  So if you visit clients’ offices, or they come to yours, general liability insurance is worth having.

  Then, if a client gets injured tripping over a loose cable in your office, your coverage can pay medical bills. And legal fees, if a claim ends up in court.

  Do you employ staff? Even if you’ve only got one person working for you, you’re legally required to have workers’ compensation insurance. Because accidents do happen. And the cost of workplace injuries can be crippling. Without insurance you’ll have to cover your employee’s medical expenses and missed wages. If they sue, you’ll have legal costs to pay, too.

  If you store your clients’ sensitive data digitally, have a website, or use email, you’re a target for hackers. Cyber liability insurance can’t stop you being attacked, but it can take care of the recovery costs. Keeping you in business and your reputation intact.

  Your insurance needs are as unique as your business. We can build coverage to suit you. And it’ll only take a few minutes.

What other kinds of insurance do accountants need?