From Theft and Crime
With Crime Insurance
There is a multitude of criminal risks that can threaten the financial viability of your business, whether you run a small boutique or a multinational corporation. Fraud and embezzlement in the workplace are more and more common and can happen even in the best work environments. Canadian employees steal approximately 20 billion dollars per year in cash, securities and other goods. For all these reasons, you must protect yourself and your company with crime insurance.
What is Crime Insurance?
Crime insurance covers a large range of individual protections in relation to money theft, securities or other goods belonging to companies and organizations. It is sometimes divided between the losses that occur in and out the workplace. It includes:
- Embezzlement by personnel, administrators and associates
- Counterfeit (fictive employees, false cheques, fictive accounts receivables)
- Theft, robbery and armed robbery (money, securities, others)
- Loss of irreplaceable articles (an unfinished manuscript for example)
- And other crimes
Robbery and Armed Robbery
Robbery and armed robbery constitute an illicit taking of money, securities or other goods by force, violence or menace of both. Only individuals and property can be stolen, not the commercial premises. This means that if you possess an endorsement against robbery and armed robbery, it applies only if your place of business is open to the public and if your company’s funds are under the responsibility of the owner or an employee.
“On Site” Robbery and Armed Robbery
This endorsement protects your funds and those of your employees in case of a robbery with use of violence (for example, a hold-up).
“Off Premises” Robbery and Armed Robbery
This endorsement protects your funds or property if they are under the responsibility of the owner or an employee. It also covers you if an authorized employee is robbed on his way to make a deposit for the company at lunch time for example.
Burglary (Breaking and Entering)
This protects you if an individual forcefully enters your commercial premises when they are closed to the public and steals property, money or other assets.
“On site” Burglary
This endorsement is useful if, for example, there is a breaking and entering at a music store during the night and electric guitars are stolen. All the damages and guitars will be
“Off Premises” Burglary
This endorsement can be very useful if you or one of your employees participate in trade shows. For example, if the merchandise is stolen overnight while being stored in a garage before a trade show, you will be covered.
Most insurance policies exclude any loss of funds left onsite unless the insured possesses a safe. Loss of merchandise, equipment and other non-financial goods can be covered.
Coverage for Loss of Merchandise by Burglary
This endorsement will cover damages resulting from a burglary, and will also include loss of material or equipment. It will only be valid if there is proof of forced entry on the premises.
Burglary of Safe
This is a separate endorsement that essentially covers losses and damages resulting from the robbery of a safe. It can be purchased separately or added to another form of endorsement against robbery and embezzlement included in your underlying policy.
Damages Caused to a Building as a Result of a Robbery
If you are the owner of a building and you only have an endorsement package for specific risks of fire, we strongly advise you to reinforce your insurance coverage against fire including a small insurance limit for damages that could result of a robbery or burglary. If you are a tenant, you could also be asked to pay for the repairs.
Infractions Related to Embezzlement By Employees
When money or property disappear following a criminal act by an employee, your endorsement against robbery and embezzlement will not be valid unless you also have an endorsement against embezzlement by employees. All endorsements against robbery and embezzlement issued by insurance companies are base on the fact that a stranger will commit the criminal act, not an employee.
For more information, make an appointment with one of our advisors!