Crime Insurance underwriting focuses heavily on how a business controls access to money and financial systems.

What business information may be required? #

This can include:

• Business activities.
• Annual turnover.
• Number of employees.
• Locations.
• Required Crime limit.
• Existing insurance.
• Previous fraud or theft losses.

What financial control information can insurers ask about? #

Examples include:

• Dual payment authority.
• Bank reconciliation procedures.
• Supplier verification.
• Payroll controls.
• Segregation of duties.
• Audit procedures.
• Employee screening.
• System access controls.

What employee information may be required? #

Insurers may ask about:

• Number of employees.
• Staff with payment authority.
• Staff with access to bank accounts.
• Employees handling cash.
• Employees with custody of stock or valuable property.

What about client money? #

Tell the insurer where the business holds or controls:

• Client funds.
• Trust money.
• Client securities.
• Client property.

This can materially affect the exposure.

What previous losses need to be disclosed? #

Provide details of known:

• Employee theft.
• Fraud.
• Social engineering losses.
• External crime.
• Suspected dishonesty.

Include what controls were changed after the incident.

A clear explanation of improved controls can be important when presenting a previous fraud loss to insurers.