COVID-19 and management liability: how can D&O coverage help in this pandemic

by Rickard Jorgensen, FCII, ARM, ACIArb. There has been a lot of news about the desire to obtain coverage for COViD-19 claims under a business interruption policy. The legal fights with insurers and proposed laws to retroactively secure coverage for various business are reported every week (see a recent article about a law proposed in […]
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jorgcpa
- Posted in Accountants' professional liability insurance, Accountants' risk management, Coronavirus, Corporate Indemnification, coverage limitations, COVID, D&O, definition of professional services, Directors and Offices, indemnification clause, insurance, Management liability, Outside Directorships, policy wording, professional liability claims, Professional Services
May, 01, 2020
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Police Warn of New ‘Line-Trapping Technology’ Being Used to Scam People Over the Phone

A new piece of sophisticated technology is being used by fraudsters to scam unsuspecting people over the phone. Police said a woman in the New York Region received a call earlier this month and was told by the scammers she had been a victim of identity theft. Police said the woman was directed to call […]
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jorgcpa
- Posted in Client relations, coverage limitations, criminal behaviour, Cyber Liability, Cyber resources, Cyber risk management, data breach, Data protection, due diligence, email risk management, Fraud, Fraudulent Wire Transfers, Phishing scams, policy coverage, policy wording, social engineering
Jan, 13, 2020
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Up in Smoke III – The SAFE Banking Act is Major Step Towards Access to Banks and Credit Unions (and Service Providers) for Legalized Cannabis Industry

By Rickard Jorgensen, FCII, ARM, ACIArb This past month the majority of Democratic and ninety-one Republican members of the House of Representatives passed the landmark Secure and Fair Enforcement Banking Act of 2019, commonly known as the SAFE Banking Act. This law has been in development for six years and is intended to reduce the […]
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Rickard Jorgensen
- Posted in being sued, cannabis, Coverage, coverage limitations, Crime coverage, criminal behaviour, marijuana, professional liability claims, Uncategorized
Oct, 08, 2019
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Professional Liability for CPAs – Understanding your coverage – Part IV – Exclusions

AKA what’s not covered…. By Rickard Jorgensen, FCII, ARM, ACIArb Whereas the coverage grant provides affirmative coverage, the exclusions take coverage away. If an activity is listed in the exclusions section of the policy, you do not have any coverage, no matter what the other sections of the policy state. It is the absolute […]
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jorgcpa
- Posted in Bad policies, coverage limitations, due diligence, exclusion, Fraud, Uncategorized
Sep, 09, 2019
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Professional Liability for CPAs – Understanding your coverage – Part III – the coverage grant

By Rickard Jorgensen, FCII, ARM, ACIArb Each insurer’s policy is arranged differently, and the items listed above can be located in different places and with different headings in each policy. However, by reading the explanations below, you should be able to locate them no matter where they are found within a policy. 1. Coverage Agreements […]
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Rickard Jorgensen
- Posted in Accountants' professional liability insurance, Bad policies, coverage limitations, definiti0on of professional services, definition of professional services, due diligence, insurance, policy coverage, policy wording, risk management, Uncategorized
Aug, 12, 2019
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The Most Expensive Insurance Policy is Always the Cheapest One.

This following is an article by guest blogger, Aaaron Lipson of FounderPro about the perils of buying coverage based upon price considerations alone. In the past we have spent much time blogging about quality of coverage. Even our competitors often focus upon coverage over costs (even when we can point to coverage flaws in their […]
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jorgcpa
- Posted in Bad policies, Coverage, coverage limitations, full tort coverage, lawsuit, Uncategorized
Jul, 10, 2019
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Professional Liability for CPAs Understanding your coverage – Part II – the declarations page

By Rickard Jorgensen, FCII, ARM, ACIArb The Declarations Page The declarations page summarizes the coverage in an easy to read one or two page document. It comprises: The preamble: Usually this is a statement about the basis of coverage which reiterates the wording that appears on the application and in the preamble of the policy. […]
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jorgcpa
- Posted in Accountants' professional liability insurance, Accountants' risk management, Bad policies, checklist, Comprenhensive coverage, coverage limitations, Declarations page, definition of professional services, professional liability claims, risk management
Jul, 10, 2019
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Fraudulent Wire Transfers – the latest word

by Rickard Jorgensen, FCII, ARM, ACIArb. In the past few years we have seen quite a few of these costly and tragic situations and paid a number of claims made against our CPA firm and investment professionals clients. The essence is that a CPA or adviser (or Trustee) is induced by a trick, artifice or […]
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Rickard Jorgensen
- Posted in coverage limitations, Cyber Liability, Cyber resources, Cyber risk management, Data protection, Fraud, Fraudulent Wire Transfers, Phishing scams, social engineering, Uncategorized
Feb, 08, 2019
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What is an Extended Reporting Period?

by Shirley Fraser, CPCU, AMIM. AVP – Jorgensen & Company Most Malpractice policies are written on a claims made and reported basis, which means all claims must be made against the policyholder and reported to the insurer during the policy period. Other than a mini-extended reporting period (usually for 60 days) there is no coverage […]
- Posted by
Rickard Jorgensen
- Posted in Accountants' professional liability insurance, Bad policies, being sued, Claims, Coverage, coverage limitations, Extended Reporting Periods, insurance, policy coverage, policy wording, prior acts coverage, professional liability claims, risk management, Tails, Uncategorized
Jan, 09, 2019
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Control of client funds

by Rickard Jorgensen, FCII, ARM, ACIArb If your CPA firm has control of client funds and can write checks on clients’ bank or investment accounts you may have an exposure to CPAs or firm staff abusing the signatory authority by stealing or misusing the client funds in the firm’s custody and control. This could apply to bill […]
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Rickard Jorgensen
- Posted in Accountants' professional liability insurance, being sued, Client relations, Coverage, coverage limitations, Crime coverage, criminal behaviour, policy coverage, policy wording, risk management, security
Jan, 03, 2019
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