Whether growing or established, your firm needs insurance tailored to the increasing professional liability risks due to an expanding staff, new clients, or changing business plans.
Specifically designed to adapt to your business, the Mid-Sized Firm Plan provides coverage for accounting firms with unique coverage needs or four or more accounting professionals and annual revenue in excess of $400,000. The Plan provides the flexibility to choose coverage options that make sense to your business’s ever changing needs.
The Mid-Sized Firm Plan covers a wide range of professional services, including:
- Tax planning and preparation
- Audit and other attest services
- General accounting services
- SEC engagements
- Computer hardware and software services
- Business advice
- Personal financial planning
- Litigation support and expert witness testimony
- Management consulting services and more
The Mid-Sized Firm is underwritten by a CNA member company, an “A” rated insurance carrier for financial strength by the major rating organizations and industry-specific expertise that today’s CPAs can count on.
Qualified firms will be able to obtain the Mid-Sized Firm’s premium savings and effective, supportive claims handling if they meet certain guidelines. Policyholders are able to gain exclusive access to the AICPA|Aon Professional Liability Risk Control Program, Online Policyholder Resource Center (including resources such as practice management guides, timely risk alerts and more), as well as the Claims Hotline.
Here are some highlights of the Mid-Size Firm Plan:
- Choice of liability limits ranging from $100,000 to $10,000,000
The Plan offers split limit options such as $500,000/$1,000,000 and $1,000,000/$3,000,000 upon request.
- Range of deductible starting at $500
Variety of deductible options, ranging from $500 to $500,000 are available for qualified firms.
- Aggregate deductible
Deductibles are accessed based on a cumulative basis, reducing out-of-pocket deductible expenses if a firm is faced with more than one claim in a policy period.
- Coverage for prior acts
Prior acts coverage is available to qualified firms that require this coverage.
- Experienced Defense Counsel provided by CNA
Defense counsel must meet certain qualifications in order to be approved by CNA to handle the defense of an accountant’s professional liability matter.
Settlement must be with the insured’s written consent.
- Premium Financing
Competitive rates are available for qualified firms. Financing rates are available upon request.
- Extended Claims Reporting Period
The period for reporting claims is automatically extended for 60 days beyond the normal or scheduled policy expiration.
In addition, because your firm may be offering more diverse services to your clients, the Mid-Size Firm Plan has expanded coverage options available for non-accounting professionals, including ERISA Plan Fiduciaries, Life Insurance Agents and Registered Reps. The expanded coverages include:
- Network Risk and Privacy Claim Endorsement
Modifies the definition of "claim" within the policy to include privacy claims and client network damage claims.
- Employee Theft Endorsement
Coverage for employee theft of money, securities, and tangible property other than money and securities that has tangible value from your firm or third parties, such as clients. The definition of theft includes unlawful taking of covered property by both employees and partners. Coverage is extended to theft from an Employee Benefit Plan. Limits are available from $100,000 to $2.5 million with a range of deductibles from $100 to $500,000.
- Increased Defendants Reimbursement
The Plan will reimburse $100 per hour for the time spent for an insured to attend a trial or arbitration proceeding at CNA’s request in connection with a claim.
- Increased Regulatory Inquiry Coverage
The Plan will cover up to $25,000 for attorney’s fees and court costs associated with responding to a regulatory investigation of your firm arising out of the rendering of professional services.
- Receivers/Trustees Coverage
Coverage for Court-Appointed Receivers and Bankruptcy Trustees is now available under the policy for qualified firms.
- Coverage for Subpoenas
Coverage is provided for legal representation in responding to a subpoena arising out of the firm's professional services, provided the subpoena arises out of a dispute to which firm personnel are not a party and the firm has not been engaged to provide advice in connection with the dispute. The legal fees incurred do not reduce the limits of liability and are not subject to the deductible.
- Coverage for services as an executor, administrator, or personal representative of an estate and as a trustee of personal trusts and charitable remainder trusts.
- Defense Coverage for alleged discrimination in client selection.
- Innocent Insureds Coverage
Provides coverage to innocent principals, partners and employees in the event of fraud or misrepresentation by another principal, partner, or employee.
- Not-for-Profit Directors & Officers Supplementary Defense Coverage Option Supplementary defense coverage is available for members of the firm in their roles as officers or directors of qualified not-for-profit entities such as church groups, sports or music organizations, community volunteer groups, or senior citizen groups. This optional coverage offers a defense limit of up to $100,000.
- Bodily Injury for Exposures Arising from CPA ElderCare Services
Introducing CPA NetProtect®
The AICPA|Aon Professional Liability Program includes cyber liability that covers litigation resulting from the theft of clients’ confidential information. When you add the CPA NetProtect endorsement to your policy you receive two important coverage extensions.
Privacy Event Expense Coverage helps address the fallout from a data breach and Network Damage Claim Coverage provides protection for third parties.
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The Mid-Size Firm Plan is monitored by the AICPA Professional and Personal Liability Insurance Programs (PLIP) Committee comprised of practicing CPAs. The PLIP Committee works closely with Aon Insurance Services, the National Program Administrator, and Continental Casualty Company (CNA), the Program underwriter, to ensure that the Plan meets the varying needs of today’s AICPA members. As an insured, you can be confident that CNA provides a level of experience and commitment you will not find anywhere else in the industry.
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