Insurance Against Embezzlement

What is Crime/Fidelity insurance?

According to the American Dental Association from their publication at embezzlementada.org:

“Employee fraud is a growing problem, and is no longer limited to manual workers or shop assistants stealing stock or petty cash, but increasingly features sophisticated frauds by well-paid and sometimes long-serving employees in trusted positions.

Dental offices are not immune to employee fraud, including embezzlement. For this reason, it is important for dental office employers to consider purchasing crime insurance, also referred to as “fidelity” insurance or a crime or fidelity “bond,” to address this risk. It is important to realize that most general insurance policies exempt employee dishonesty from its coverages entirely, or provide only very limited amounts, such as $10,000 per employee.

Crime or fidelity insurance indemnifies a dental practice for losses arising out of employee dishonesty, and for many other risks entailing crime as well. The scope of crime insurance is broader than employee theft.

Crime/Fidelity insurance can cover losses from:

  • Employee dishonesty;
  • Forgery or alterations;
  • Theft, disappearance and destruction;
  • Robbery and safe burglary;
  • Money orders and counterfeit paper currency coverage;
  • Computer fraud and funds transfer fraud; and
  • Corporate credit card fraud.

In addition to the actual losses resulting from the embezzlement, certain expenses are covered which arise during adjusting any claim, including investigation expenses, computer clean-up costs arising in connection with a computer violation of fraud, and attorney fees that may be involved.

Dental offices are not immune to employee fraud, including embezzlement. For this reason, it is important for dental office employers to consider purchasing crime insurance, also referred to as “fidelity” insurance or a crime or fidelity “bond,” to address this risk. It is important to realize that most general insurance policies exempt employee dishonesty from its coverages entirely, or provide only very limited amounts, such as $10,000 per employee.”

It is far wiser to put the proper practice controls in place to break the chain of revenue cycle which would prevent or severely limit the opportunity of an embezzler.

eAssist as a partner in the prevent of embezzlement is the other set of eyes that post all insurance checks and ensure legal and clean claims are submitted to insurance companies.  At the end of each day eAssist provides a report that shows insurance collections and office collections and gives you details such as if a patient left without making an expected payment.

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