Even with good hiring and screening practices and strong security in place, every type of business has some measure of vulnerability to loss resulting from employee theft. In fact, the majority of theft in the workplace is committed by companies’ own employees. It’s important for all businesses to take active measures to protect themselves against lost revenue caused by theft.
Employee Theft Can Go Undetected
Not all employee theft is as simple as an isolated incident in which somebody steals merchandise or cash. There are several different ways that employees can steal from a company and conceal their activity for some time, causing a company to sustain significant losses. For example, an employee who embezzles funds will do so by appropriating revenue or claiming that stolen funds were spent on the company’s behalf. Embezzlement can continue for months or even years before an employer will learn of it. A company can protect itself against this type of theft by implementing strict accounting controls and obtaining employee theft protection through crime insurance.
The Benefits of Comprehensive Crime Insurance
Insuring your company against lost revenue caused by crime is one of the most effective ways that a company can safeguard its operations. In the event that a company suffers a loss due to theft, a commercial package that includes a crime insurance policy can cover the full amount of its damages.