What is Bookkeeper Insurance?
Insurance for bookkeepers is designed to protect different risks which your business may be faced with. This includes cover like Professional Indemnity insurance, Public Liability insurance and various Business Insurance coverage options.
Why do bookkeepers need Business Insurance
Handling your clients’ finances isn’t a job that doesn’t come without its risks. Even for the most experienced number wizards, the reality is mistakes and accidents can happen, especially when you least expect it.
Not only is there the professional advice and service aspect of your business but there’s the interactions with your clients, whether you are out and about visiting them, or they are coming to your office to think about too. If a client or any third party were to injure themselves (when not covered by the ACC) or if you were to accidentally damage their property during your business operations, there is the potential for a claim.
You focus on keeping your clients’ books neat, and we focus on sorting out your business insurance. We know you are always busy helping your clients, therefore we made it easy for you to arrange your business insurance – just a few clicks and one phone call, you have your policy documents emailed to your inbox.
Insurance for Bookkeepers
Professional Indemnity Insurance
Professional Indemnity Insurance is for businesses and professionals in fields where their customers, or other organisations may rely on their professional advice. As an ‘expert’, others may seek legal action against you if they suffer a loss from your professional advice. Bookkeepers provide professional advice and could potentially benefit from PI.
PI insurance generally indemnifies the insured for a claim that is first made whilst the policy is in force as a result of a breach of professional duty in respect of the conduct of the professional business as a Bookkeeper. The professional business of Bookkeeping can include any or all of the following activities:
- Recording, Monitoring and Tracking the Value of Assets & Liabilities
- Reporting Requested Bookkeeping Information
- Recording, Monitoring and Tracking Income and Expenses
Bookkeepers generally require professional indemnity insurance for a number of reasons, which are set out below:
- Risk management tool to assist in providing financial protection for a Bookkeeping firm.
- Requirement of Bookkeeping Professional Associations
- Requirement under new legislation
- Requirement for many clients and/or tender processes
- Heightened level of risk in uncertain economic times
What is typically covered?
- Damages and claimant costs awarded against the insured
- Legal and defence costs
- Claims investigation costs
- Inquiry attendance costs
- Public relations costs
What is typically NOT covered?
- Intentional damage
- Known claims and circumstances
- Fraud and dishonesty
- Bodily injury / property damage
Public Liability
Whether you work from an office (even home-based) or go out to visit your clients on the road, Public Liability insurance is one of those fundamental types of insurances that bookkeepers need to consider.
Public Liability Insurance, often referred to as General Liability, gives you peace of mind, protecting you and your business against such claims by providing compensation for property damage, and personal injury or death in circumstances that are not covered by the Accident Compensation Commission (ACC). It also covers any legal defence costs you incur as a result of defending yourself.
What is typically covered?
- Compensation for accidental damage to third party property
- Compensation for personal injury or death to third parties where the ACC does not provide cover
- Legal and defence costs
What is typically NOT covered?
- Injury to your employees
- Damage to your own property
- Compensation for personal injury whereby cover is provided by the ACC
- Known claims and circumstances
Business Insurance
It’s important to take the time to consider protecting the assets that help to keep your bookkeeping business running. There are a variety of different types of business insurance options, these are a few to consider:
Contents: Covers your business contents or stock if they are damaged in a fire, storm or due to malicious damage or some other defined event listed in the policy
Building: Cover for loss and damage to buildings you own, as a result of an insured event (such as fire, storm, wind).
Portable Equipment: Portable Equipment insurance (also known as General Property insurance) covers you for loss and damage to items of portable equipment associated with your business. These can include tools of trade and items of stock.
Business Interruption covers lost income and some of the increased costs of running your business as a result of interruption caused by events covered under your policy.
15000+ NZ
small business covered
Frequently asked questions
No two bookkeeping businesses are the exact same, and neither are two insurance policies for bookkeepers. The pricing will depend on a variety of factors that are unique to your bookkeeping business.
Some of these may include:
- The size of your business
- How many staff you have?
- The type of food business you are running
- The type of coverage you take out
- Your excess
- The level of cover
- Your claims history
- Location of your business
To receive an accurate idea of how much business insurance will cost for your hairdressing business click here to get a quote or have a chat to our friendly team.
As a bookkeeper, business insurance may be a requirement in certain situations like becoming a member of an industry body or as a condition of a contract that you may work on. It is always wise to check what type of cover and the amount you are required to have in place.
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