GHI alt

Commercial Crime Insurance

Table of Content

What is Commercial Crime Insurance?

While strong internal protocols can help a company avoid fraud, dishonest employees and external fraudsters can circumvent the security of even the most well-run companies and ones with the most robust controls, leading to potentially substantial financial losses. Commercial Crime Insurance safeguards your business from losses arising due to dishonesty, theft, or fraud of the employees or third parties. Whether the offender is a permanent worker, intern, or consultant/freelancer, it covers them all. It provides coverage for loss of money or other assets against theft, fraud, forgery, burglary, and more.

Why is Commercial Crime Insurance Necessary?

Protection in a challenging environment

Globalization and developments in technology mean that businesses are faced with increased exposure to commercial crime, especially in periods of economic instability. Losses related to such criminal acts can be frustrating and costly. In the digital age, manipulation and digital crime can be disruptive and this simple line of insurance can help.

Peace of Mind against employee dishonesty

The type of employee theft that your business is most exposed to will depend on your industry. Commercial Crime Insurance protects your company from a few bad apples who might affect the entire business and even other employees. You’ll be financially protected against any theft of funds and other dishonest acts committed by such employees.

Advantages of Commercial Crime Insurance

Wide risk coverage

This policy provides a wide range of coverage by protecting your business against losses arising from employee dishonesty, fraud, theft, burglary, robbery and forgery. Along with this, it also covers financial losses due to third party fraud and pays for the loss of money and securities in transit outside the insured’s premises.

Cover for Legal Costs

Commercial crime policy indemnifies you for all the investigation costs and other legal costs incurred due to loss from an employee or third party, hence protecting your business financially.

Additional Extensions

This policy comes with many extensions such as computer fraud cover, in-transit cash and valuables cover etc which can be included by paying extra premium.

Features of Commercial Crime Insurance

Employee Theft Cover

Covers loss of money, securities or other property by theft or forgery by an identifiable employee of the Insured

Premises Cover

Covers losses from destruction, disappearance, wrongful abstraction or computer theft of money or securities from the Insured’s premises by third parties.

Transit Cover

Covers losses from destruction, disappearance, wrongful abstraction of money or securities outside the Insured’s premises by a third party, while being conveyed by the Insured, an armoured motor vehicle company or any person authorized by the Insured.

Depositors Forgery Cover

Covers losses from instruments such as cheques fraudulently drawn on the Insured’s accounts by a third party.

Computer Fraud Cover

An extension to cover losses sustained by the Insured due to computer fraud by a third-party including cover for expenses incurred by the Insured due to a computer violation

Why buy Commercial Crime Insurance from Raghnall?

One Point of Contact

No need to coordinate with multiple points of contact and third parties. With Raghnall, you only need to stay in touch with us and no one else.

Product Expertise

At Raghnall, we have specialized underwriters and product experts who take time to understand your business and offer the coverages suitable to your needs.

Best Deals

As a fully independent broker we customize coverage catering to your needs and provide the best price for most comprehensive coverage.

Who should buy Commercial Crime Insurance?

Your business deals with a lot of petty cash.

Such as restaurants and cafes as well as retail stores or theatres.

Your business has a lot of merchandise or products.

Retail businesses like shops and boutiques are a few examples.

You deal with a lot of vendors, clients, and part time employees

For example, event planners, marketing firms or PR agencies.

It collects any personal information from customers

Like advertisers, online stores, financial institutions etc.

Factors to be considered before purchasing Commercial Crime Insurance

Sum Insured

Make sure that you pick the right sum insured for your policy. Choose a policy that allows you to customize your sum insured that will work best for you and your business.


Always check the coverages and the exclusions in your policy. For example, some standard policies may not cover data theft or computer hacking and fraud. So, read through the terms and conditions and you won’t be surprised by anything later.

Claims Process

Claims are one of the most important parts of insurance, so look for a company that has easy to make claims and also a simple settlement process, as it can save you and your business a lot of hassle.

Value for Money

Evaluate all the factors together, consider the risks posed to your employees as well as the sum insured and the premium to find the policy that gives you the best value.

Frequently Asked Questions

Commercial Crime Insurance is also popularly known as Business Crime Insurance Policy, for reference by many insurance providers and buyers.

Forgery cover means that the policy will protect you in case your employee or a third party imitates any person’s or authority’s signature, or misuses a document or any other data in order to perform fraud or with the intent to steal.

Internal Fraud: Internal Fraud pertains to employees – full time, part time or volunteers. Ex-employees who have been terminated for a period not exceeding 60 days also come in the purview of internal fraud. External Fraud – External Fraud means any fraudulent or dishonest acts committed by a third-party. This excludes corporate transactions, voluntary exchange, or investment activities.

Some of the most common crime insurance exclusions are: Losses due to war, strike, riots and terrorism Loss of income Consequential losses Crimes committed by executives Credit risks, extortion, ransom, fines and penalties Crimes committed by employees in coordination with business partners Cybercrime-related losses such as lost patents, trade secrets, customer lists Exposures covered by other insurance policies etc.

While calculating the premium for commercial crime insurance, various factors are considered such as nature of business, size of the organization, number of employees, location of business and so on. Security measures adopted by the organization to secure its financial activities, including steps taken for cyber security, are also considered while calculating the cost of the policy.

Yes, past claims do affect the premium for commercial crime insurance. The size of past claims and their frequency is taken into consideration while calculating premium and has direct impact on the premium.