Employee theft, forgery, computer fraud, funds-transfer fraud, social engineering, robbery, and client-property coverage are distinct insuring agreements.
Management and Workforce
Commercial Crime and Fidelity.
Who can move the money, change the instructions, approve the vendor, or touch client property? Start there.
Commercial crime and fidelity coverage can address specified loss from employee dishonesty, theft, forgery, computer fraud, funds-transfer fraud, social engineering, or other defined criminal acts. Insuring agreements, covered property, discovery, employee definitions, vendors, clients, territory, controls, and sublimits vary materially.
Placement context
Facts to confirm before applying.
Crime submissions should follow authority, not organization charts. Identify who can create a vendor, change bank instructions, release funds, reconcile accounts, access inventory, handle client property, and override controls. The best answer is a process with separation, verification, and audit evidence.
Coverage scope
What the coverage may address.
The definition of employee, discovery or loss-sustained structure, prior loss, territory, ownership, and proof requirements affect recovery.
Voluntary parting, authorized-user fraud, invoice manipulation, vendor fraud, and cyber events can fall between crime and cyber forms.
Placement factors
Facts that affect placement.
- Large transaction volume, client funds, trust accounts, or valuable inventory
- Distributed finance teams, remote payment changes, complex vendors, or international operations
- Prior employee dishonesty, social engineering, funds-transfer, or inventory loss
- A need for client-property, third-party, ERISA, or high-limit treatment
Coverage and access are separate questions
Coverage guidance does not confirm a current market route, quote, policy terms, or bind authority for a particular account.
Submission preparation
Prepare a consistent underwriting file.
Account narrative
Map the path of money and property, the people who can redirect it, the independent checks that stop them, the losses that tested those controls, and the insuring agreements needed.
Include these facts
- Revenue, assets, employee count, locations, transaction volume, funds, and property handled
- Payment, vendor, wire, bank-change, reconciliation, inventory, and access controls
- Employee, contractor, volunteer, property-manager, and third-party custody relationships
- Crime events, near misses, corrective action, audit findings, limits, and requested agreements
Resolve these questions before market review
- Who can create, approve, release, reconcile, and alter a transaction?
- How are vendors and changed payment instructions verified outside the original message?
- Whose money or property does the insured hold, and under what contract?
- Which fraud scenario falls between employee theft, social engineering, computer fraud, and cyber?
Submission errors
Avoid these three issues.
- Saying dual control without describing who performs each step
- No distinction among employee theft, social engineering, computer fraud, and funds-transfer fraud
- Ignoring client funds, trust accounts, volunteers, or outsourced bookkeepers
Hedge resources
Forms and class guidance for this coverage.
Hedge-owned form
Hedge Management Liability D&O and EPL Supplemental
A fillable Hedge supplemental for directors and officers, employment practices, and related management liability coverage.
Read and downloadHedge-owned form
Hedge Loss and Claims Supplement
A fillable Hedge supplement for organizing prior losses, claims, and open-claim detail for wholesale review.
Read and downloadClass appetite
Community association crime
Read the public, directional class guidance and prepare for account-specific review.
Review class guidanceClass appetite
Private company D&O
Read the public, directional class guidance and prepare for account-specific review.
Review class guidanceClass appetite
Full active appointment appetite
Read the public, directional class guidance and prepare for account-specific review.
Review class guidanceRelated coverage
Review related exposures.
Management and Workforce
Management Liability
The cap table, boardroom, balance sheet, and employment history all show up in the policy wording.
Open coverageProfessional and Cyber
Cyber Liability and Technology E&O
Cyber pays for the event. Tech E&O answers for the service failure. Many technology companies need both stories told.
Open coverageManagement and Workforce
Employment Practices Liability
Headcount is a number. Hiring, managing, disciplining, and terminating people is the exposure.
Open coverageHedge review
Send the account for review.
You do not need a perfect packet to start. Send the account, requested line, effective date, current applications, available loss information, and the fact making the placement difficult. Hedge will separate missing information from market-ready information before any account-specific route is confirmed.