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BOOKKEEPER & ACCOUNTANCY INSURANCE
Essential Bookkeeper Professional Liability Insurance Coverage for Australian BAS Agents
If you are an Australian business professional offering bookkeeping, tax, or BAS services to your clients, it is crucial to have two types of Accounts liability coverage.
The Tax Practitioners Board (TPB) mandates that all BAS agents must have professional indemnity (PI) insurance coverage.
This coverage is essential for consumer protection and helps compensate clients in case of any financial loss due to your services
To fulfill the second requirement, you need to have bookkeepers public liability insurance.
This insurance policy safeguards your workplace from financial risks that may arise due to death, bodily injury, or property damage that occurs on-site.
If you are unsure about the details of this insurance or how to obtain it, keep reading for more information.
What Breaches of Professional Duty Can Accountants Face?
Although the TPB requires PI insurance only for BAS agents, it is recommended that individuals in financial management, such as accountants, tax advisors, and bookkeepers, also have it.
his is because their actions have a direct impact on the financial stability and security of their clients, who may face negative consequences due to their actions or inactions.
Breaching professional duty can occur through negligence, errors, failures, omissions, or mistakes.
What does this look like for Accountants?
Having direct access and control over someone's accounts is a major responsibility that comes with various risk factors.
These include providing incorrect financial advice, making errors in journal entries or financial statements, failing provide promised expert services, rendering services negligently or unprofessionally, and lodging documentation too late.
In case any of these instances occur and your client suffers losses, PI cover can indemnify you from carrying the financial responsibility.
Your insurance policy would provide the necessary funds to cover the losses and any legal costs required to defend the claims and ascertain liability.
Investing in a PI insurance policy is a wise decision, whether it's to comply with legal obligations or for risk management purposes. It can safeguard bookkeeping business from financial and operational risks.
What is Public Liability Insurance Do Accountants Need?
PI insurance safeguards your business from lawsuits arising from professional services or advice, whereas public liability insurance operates differently. It is necessary to shield your business from any damages by a third party while on your premises, including property damage and legal expenses for representing your business in a lawsuit.
A few examples of personal injury cover include:
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Bodily injury
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Mental injury
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Death
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Sickness or disease
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Shock or fright
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Disability
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False arrest
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Wrongful eviction
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Libel or slander
Examples of property damage cover include:
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Physical loss of property
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Physical destruction of property
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The loss of use of tangible property
Unexpected incidents like these are not necessarily linked to the services you offer. They can happen anywhere on your premises, affecting anyone from the general public to business associates, clients, subcontractors, and others. Public liability insurance takes care of your responsibility to compensate the injured party for their losses, as well as the exorbitant legal expenses associated with legitimate claims.
Protection for Your Congregation
Imagine you are finalizing a client's year-end accounts and they come to collect their documents. While they are in the bathroom they slip on a wet floor.
Alternatively, you may be setting up a cloud accounting system for a client and they trip on a cable in your office.
Although you did not breach your professional duty, the person was injured while in or around your building, and the treatment be expensive.
Property Damage
Have you ever thought about the consequences of hiring painter or a plumber who accidentally damages your expensive office equipment?
Apart from the cost of replacing the damaged gear, if you rely on technology to connect with clients, you might have to pause your operations until you can get back up and running.
Can you afford to face such a financial setback alone?
How to Get Accountants Insurance and Bookkeeper Liability Cover?
After discussing various insurance options for bookkeepers, let's explore our team's expertise and the functionality of our user-friendly online quote system.
Our team is knowledgeable in many professions, including bookkeeping, and can offer a complete solution to obtain the necessary coverage. We provide four levels of public liability insurance for bookkeepers, ranging from $5 million to $30 million.
We provide various levels of PI insurance coverage, ranging from $1 million to $20 million, which can be to your needs.
We offer flexible payment options, including monthly plans, to simplify the decision-making process for you.
By filling out our form, we can better understand your business and recommend the appropriate insurance coverage.
As every bookkeeping business is unique, we will work with you to ensure that plan meets your specific requirements, taking account any contractual obligations.
Find Bookkeeping Insurance Solutions Today
Having liability insurance is crucial for your bookkeeping business as it ensures financial stability and protects your reputation during challenging times. Your ability to support your business financially is directly linked to its success.
We provide insurance solutions for both BAS agents and freelance bookkeepers in Australia.
Our experienced brokers are dedicated to offering personalized service and a variety of coverage options, such as public liability insurance, bookkeepers professional liability insurance, and management liability insurance.
Please contact us to learn more about services, but please note that the information in this article is general guidance only and we recommend consulting with your insurance broker for general advice.
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