COMMERCIAL CRIME
Commercial crime insurance, for employee theft and fraud loss.
Commercial crime covers losses your business suffers from employee theft, third-party fraud, computer fraud, forgery, and theft of money or securities. Standard property excludes these; commercial crime is the fill.
What it covers
What commercial crime covers.
What it covers
Employee dishonesty (fidelity)
The core coverage. Reimburses business losses from theft, embezzlement, or fraudulent activity by employees. Covers cash, property, and other business assets. Limits typically $25K to $1M+ depending on business size and exposure.
What it covers
Third-party fraud and computer crime
Fraudulent funds transfer from spoofed emails (CEO impersonation, vendor invoice fraud), computer-system fraud, social engineering schemes. Critical given increased frequency of business email compromise (BEC) attacks. This overlaps with cyber liability insurance, so it helps to confirm which policy responds first.
What it covers
Forgery and alteration
Losses from forged checks, signatures, or altered financial documents. Covers both inside (employee) and outside (third-party) forgery.
What it covers
Money and securities theft
Theft of money or securities from your business premises (inside policy) and while in transit (outside policy). Includes safe burglary, robbery, and theft from messenger. The policy limit for the in-transit portion is often lower than the on-premises limit, so it is worth checking both.
Where policies have edges
Where commercial crime has edges.
Not covered
Inventory shrinkage / unexplained losses
Inventory shortages without proven theft (e.g., math errors, shrinkage from unknown causes) are typically excluded. This exclusion means coverage applies to specific identified theft events, not generic inventory loss.
Not covered
Acts of executives and ownership
Theft or fraud by company executives, directors, or owners is typically excluded. Management liability (D&O) handles those exposures.
Not covered
Indirect or consequential damages
Lost profits, reputational damage, or operational disruption from a crime event are typically excluded. Only the direct property/money loss is covered.
Not covered
Voluntary parting (giving up property to a fraudster)
If an employee or owner voluntarily hands over money or property because of a deception, some policies exclude this. Social engineering coverage is a specific endorsement that fills this gap.
Who needs this
Who needs Commercial Crime Insurance.
Businesses handling cash, checks, or securities; businesses with employees in fiduciary roles (bookkeepers, accountants, payroll); businesses with significant accounts payable / wire transfer activity (vulnerable to BEC fraud); nonprofits handling donations; healthcare practices; legal practices; retail with cash registers; restaurants; and any business where employee dishonesty would cause meaningful financial loss.
What it costs
What you can expect to pay.
Commercial crime as a standalone policy typically runs $300 to $3,000 annually for small to mid-market businesses. As an endorsement to BOP or commercial property, often $150 to $1,500. Limits scale with employee count and financial exposure. Significant additional cost for higher-risk businesses (financial services, jewelry, cash-heavy retail).
In Georgia
How this works in Georgia.
Commercial crime is available through Olive Cover from most commercial carriers. The Hartford Commercial, Travelers Commercial, CNA, and Hanover Commercial all write commercial crime as an endorsement to a business owners policy or commercial property, or as standalone for larger accounts. Wire fraud / social engineering coverage is increasingly important for Georgia businesses given BEC attack frequency. If you are weighing how we match a business to a carrier, see how we choose which carrier to place you with.
If You Need to File a Claim
Claims tips
First Steps
As soon as you discover a theft or fraudulent transfer, stop the bleeding before you call anyone else. For a funds transfer fraud (BEC attack), contact your bank immediately, wire recalls succeed most often in the first 24-48 hours. Freeze the affected accounts, change credentials, and preserve every email and login record untouched. Then report to your carrier the same day. Commercial crime carriers expect prompt notice, and delay can give them grounds to dispute coverage on timing alone.
What to Document
- For employee theft: payroll records, invoices, bank statements, and transaction logs covering the full suspected period, not just the discovery date. Carriers require proof the loss resulted from a dishonest act, not a bookkeeping error or inventory shortage.
- For BEC/funds transfer fraud: the original spoofed email chain, wire transfer confirmation, the bank's fraud report, and any internal communications that authorized the transfer.
- A forensic accounting engagement letter if you bring in a CPA or forensic accountant, their fees may be reimbursable under your policy's investigative expense provision.
- A police report filed with local law enforcement. Most commercial crime policies require one as a condition of coverage.
Common Mistakes
- Confronting the employee before notifying the carrier. Once an employee is tipped off, records disappear. Let the carrier and its investigator set the sequence.
- Assuming the loss is covered because it looks like theft. Inventory shortages, even large ones, are excluded unless you can demonstrate a dishonest act caused them. Shrinkage alone does not trigger coverage.
- Overlooking the ownership exclusion. Theft by owners, partners, or officers typically falls outside a standard commercial crime policy. If an owner-operator is the subject, a separate D&O or management liability policy is the right conversation.
When to Call Us
Any time you discover missing funds, a suspicious transaction, or a wire transfer that looks wrong, even before you are certain it is fraud. Early involvement lets us review your policy's proof-of-loss timeline, coverage triggers, and subrogation rights against the bank or a third party, before those windows close.
OUR CARRIER PANEL
Carriers We Work With
The carriers we compare are licensed and regulated in your state. We shop these markets and present the options that match your situation; a licensed advisor reviews the fit with you in a free coverage review.
Carriers reviewed by Olive Cover that write this coverage.
Common Questions
Commercial Crime Insurance: frequently asked questions
What is commercial crime insurance?
Commercial crime insurance protects a business against employee theft, forgery, computer fraud, and other dishonest acts.
Who needs commercial crime insurance?
Any business that handles cash, payroll, customer funds, or has employees with access to financial systems.
What does commercial crime insurance cover?
Employee theft, forgery, computer fraud, funds transfer fraud, robbery, and counterfeit currency.
What is the difference between fidelity bonds and crime insurance?
Fidelity bonds are a narrower form of crime coverage focused on employee theft, often required by clients or contracts.
How much commercial crime coverage do I need?
Most small businesses start at $100,000 to $250,000; higher for businesses with payroll over $1 million or client trust funds.