Commercial Crime

Commonly known as fidelity guarantee insurance, commercial crime insurance provides protection to the employer (insured) against fraud and dishonesty committed by employees, where the employees have benefitted financially and/or intentionally caused a financial loss to the employer.

Policy triggers:

  • Fraud, theft or dishonesty committed by employees
  • Fraudulent transfer instructions
  • Third party computer fraud
  • Extortion

Benefits and extensions:

  • Personal financial gain is not considered a defined event, reducing the burden of proof
  • An extended discovery period has been included, giving more time for the insured to discover and report a potential loss
  • The prescription period is 24 months
  • Clients are automatically covered on an “each and every occurrence” basis, which means they don’t have to purchase a reinstatement of the sum insured
  • Legal fees have been included to assist when necessary
  • Care, custody and control is automatically included
  • Past employees are recognised for 90 days
  • A risk management survey is conducted by  an experienced risk manager

Claim examples:

  • An employee creates ghost employees and pays him/herself
  • An employee steals stock or money
  • A third party hacks into a company and sends instructions to the bank to transfer money

Gizelle Pereira

011 351 2584

Capacity: R500 million

Required: Proposal form and annual financial statements