It is next to impossible to be a Certified Public Accountant and not have a clear understanding of how risk can affect business. Some calculated risks are great, while others are foolhardy and can quickly ruin an organization. CPA professional liability insurance is a wonderful way to avoid certain risks and keep an accounting business safe. Accountants and the Public Accountants perform a customer service. As members of the service industry, accountants can be held liable when the advice they give their clients is directly responsible for causing physical, emotional, or financial harm to those clients or to others. Keeping track of another person’s finances is a great responsibility and there is no guarantee that an accountant will always give the best recommendations. CPA professional liability insurance will not only pay for any damages for which an accountant has been found liable but will generally also cover expenses related to their defense.
Serve Clients with Confidence
Many professionals see liability insurance as a valuable safety net in the event that a client seeks legal action against them. In addition to preventing business failure in the event that an accountant is successfully sued, CPA professional liability insurance also helps accountants do their jobs with more confidence. Properly insured accountants do not have to second-guess their actions because they know they are safe. Increased confidence is an asset in any field, accounting included.