In the business world today, it is common practice for companies to entrust their day-to-day activities to their employees. The sad part is these same loyal and trusted employees may be the individuals that are taking advantage of the trust the companies have placed in them. Companies can suffer financial losses due to acts from their employees such as check forgery, computer fraud, and what can be referred to as some very creative accounting techniques. Considering all the ways technology has been improved, committing fraud against an employer has never been easier to accomplish than it is today. Unfortunately, even if your company employs every conceivable auditing procedure and internal controls, if your employee wants to commit fraud against your business, they will find a way to do it.
Acquiring an Orange County, CA Fidelity/Crime Insurance Policy will provide your company protection from losses of securities, money, or inventory resulting from a crime being committed. Some examples of allegations of Fidelity/Crime Insurance claims are: embezzlement, employee dishonesty, forgery or alteration, computer fraud, extortion, and money wire transfer to name a few of the various criminal acts that are committed by employees and third parties each year.
Companies need to be on guard at all times since employees and third parties have the ability of coming up with every conceivable way there is out there to exploit a weakness in your safeguards concerning your finances. Here are a few examples of what an employee might do against your company: non-existent suppliers, fictitious accounts payable, fake employees, to just blatantly stealing your company’s money, property, or securities. Please take note that fraud and embezzlement in the workplace is on the rise, and even if your company takes every precaution they can think of, chances are it will happen regardless. Every business should be concerned about employee dishonesty, particularly if your business is dealing with cash or securities.