Losing even 5% of commissions on a $1 million book of business translates to $50,000 in lost revenue over time. If you\u2019re ready to explore how custom insurance can benefit your business, visit us today and find the peace of mind that comes with knowing you\u2019re covered. Maintaining accurate records and managing risks effectively can help you avoid frequent claims.<\/p>\n
For instance, if you make an error in a client\u2019s financial report that leads to financial loss, this insurance can cover the legal fees and potential settlements. Professional liability insurance for bookkeepers, also known as errors and omissions insurance, provides coverage when a client sues because you didn’t perform your services at the promised standard. This policy covers any related legal fees, cost awards, or settlement costs. It takes care of medical bills or legal fees, saving your business from unexpected costs. Even the most vigilant bookkeeper is likely to make a mistake at some point. Bookkeepers have sensitive information relating to their client\u2019s daily financial transactions.<\/p>\n
Regular reconciliation of bank accounts, commission reports, and trust accounts prevents financial discrepancies that could impact long-term profitability. Accurate liability tracking prevents unexpected financial shortfalls and ensures compliance with tax and commission regulations. With multiple carriers, different payout schedules, and commission rate variations, missing payments is a real risk.<\/p>\n
Fidelity bonds provide reimbursement if one of your employees commits fraud, theft, or forgery against a client or your business, including illegal electronic funds transfer. If you\u2019re already insured and looking to switch providers, one of the easiest ways to provide this information to a potential new insurer is by requesting a loss run report. To get a loss run report, all you need to do is contact your current insurance provider and ask for one. Take some time to identify internal and external risks specific to your business. Once you\u2019ve identified any potential business risks, categorize them based on the effect each risk could bring to your business. Then outline any contingency plans or controls for key risk scenarios.<\/p>\n
And if you don\u2019t have any employees yet, but plan to hire people in the future, keep these policies in mind and purchase them before you land your first hire. Whether you’re on your own or work for a large organization, you need protection. Hear from customers like you who purchased small business insurance. BHSI IS NOT RESPONSIBLE FOR, AND EXPRESSLY DISCLAIMS ALL LIABILITY FOR, ANY ADVICE, COURSE OF TREATMENT, DIAGNOSIS OR ANY OTHER SERVICES OR PRODUCTS THAT YOU OBTAIN AFTER REVIEWING THIS WEB SITE. NEVER DISREGARD PROFESSIONAL MEDICAL ADVICE OR DELAY SEEKING MEDICAL TREATMENT BECAUSE OF SOMETHING THAT YOU HAVE READ ON OR ACCESSED THROUGH THIS WEB SITE. With that in mind, we\u2019ve put together this Insurance for Bookkeepers Guide with all the information you need to know about getting insurance for your business.<\/p>\n
This type of insurance protects you from claims that arise from mistakes or negligence in your services. When it comes to insurance for your bookkeeping office, you want your coverage to be calculated to fit your needs. With a PolicySweet\u00ae Business Owners Policy, we\u2019ll make sure your coverage is well balanced. From General Liability to Workers\u2019 Compensation each office insurance policy for bookkeepers can be adjusted to help protect your business, clients, and employees.<\/p>\n
It\u2019s also worth noting that some larger clients won\u2019t work with uninsured bookkeepers. Having the right insurance doesn\u2019t just protect you \u2014 it adds an air of legitimacy that potential clients can see up front. But as a bookkeeper, you\u2019re in the business of planning \u2014 and that planning includes protecting yourself from risks that could hurt your financial well-being. If a claim is filed against you after you\u2019ve purchased insurance, the first step is to take a deep breath. They will be able to explain the process to you, review your coverage, let you know what information to gather, and walk you through the next steps.<\/p>\n
Understanding the cost of bookkeeping business insurance is crucial for managing your expenses effectively. Let\u2019s break down the key factors that influence insurance premiums, coverage limits, and deductible amounts. While you crunch numbers in documents, your businesses might still involve real-world interactions. If a client injures themselves at your office or if you accidentally damage a client\u2019s property while working at their location, general liability insurance protects you.<\/p>\n