Risk Alert: Coronavirus and Business Continuity

As the COVID-19 pandemic escalates, both CPA firms and their clients are facing emergency planning issues. Staffing, work deadlines, travel, sales, and supply chains are all being impacted. Two of the most pressing issues are protecting the health of employees and preserving business continuity.

By and large, CPA firms are well positioned to operate remotely through the use of technology. Maintaining an effective business continuity plan is a key concern. In a recent article in Forbes magazine, https://www.forbes.com/sites/samcurry/2020/03/09/dont-panic-covid-19-business-continuity-outside-the-perimeter/#63ae1a0244ef, the author provides a basic list of things to consider in the plan, which will require reevaluation as the situation evolves.  Aon also has prepared a business continuity checklist to assist clients in protecting their organizations https://www.aon.com/getmedia/136844b5-e721-4ece-9fa7-81adf94e9209/Business-Continuity-Management-For-Infectious-Disease-COVID.aspx .

CPA firms providing consulting advice to clients concerning business plans to respond to the crisis should both document all discussions and confirm them in a follow up email to the client, identifying matters the client needs to follow up on.

Respecting tax deadlines, continue to monitor information issued by the IRS, Department of the Treasury, and state departments of revenue. Additionally, refer to updated information released by The Center for Disease Control  https://www.cdc.gov/coronavirus/2019-ncov/index.html . Auditors should monitor relevant information available from the SEC https://www.sec.gov/U.S. GAO https://www.gao.gov/yellowbook/overview#t=1 , and the AICPA Center for Audit Quality https://www.thecaq.org/


Aon maintains an Infectious Disease Response Site designed as an online resource for clients and industry peers to access information and insight on risk exposures and human capital (duty of care) concerns emanating from an infectious disease event or outbreak. Organizations should consider strategies to prepare and safeguard their employees and businesses by reviewing their insurance policies for coverage provisions relating to COVID-19 or other infectious disease event.  Visit the site for current updates.

The AICPA is taking the Coronavirus (COVID-19) very seriously. They are continually monitoring the virus’ impact on our members, staff, exam candidates, students and the profession and have created an online resource center.  Visit the site for current updates.

Aon Insurance Services is the brand name for the brokerage and program administration operations of Affinity Insurance Services, Inc., a licensed producer in all states (TX 13695); (AR 100106022); in CA & MN, AIS Affinity Insurance Agency, Inc. (CA 0795465); in OK, AIS Affinity Insurance Services Inc.; in CA, Aon Affinity Insurance Services, Inc., (CA 0G94493), Aon Direct Insurance Administrators and Berkely Insurance Agency and in NY, AIS Affinity Insurance Agency.

This information has been provided as an informational resource for Aon clients and business partners. It is intended to provide general guidance on potential exposures and is not intended to provide medical advice or address medical concerns or specific risk circumstances. Due to the dynamic nature of infectious diseases, Aon cannot be held liable for the guidance provided. We strongly encourage visitors to seek additional safety, medical and epidemiologic information from credible sources such as the Centers for Disease Control and Prevention and World Health Organization. As regards insurance coverage questions, whether coverage applies, or a policy will respond to any risk or circumstance is subject to the specific terms and conditions of the policies and contracts at issue and underwriter determinations.​

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