Your opportunities may be global, but so are the risks of crime

Your opportunities may be global,
but so are the risks of crime
Commercial crime insurance
Your business goals are
to drive profitable growth...
...and criminals want
to thank you for that
No business is immune from crime,
both from within and outside of the
business. Whether your business is
international in scope or purely
domestic, bad actors from
dishonest employees to
increasingly sophisticated
cyber criminals probably
already view it as a
source of their own
“profitable growth”.
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The headlines are spectacular – the losses
almost incalculable. The impact of crime,
from misappropriations by employees to
external assaults by skilled financial criminals,
annually runs into the billions, in whichever
currency you do business.
Some losses involve relatively small amounts
taken over many years, cumulatively amounting
to large sums. Other shock losses may occur
without warning as costly, isolated gambits
pulled off by sophisticated criminals looking
for big paydays. Either way, the impact on your
balance sheet, cash flow, business continuity
and overall reputation can be devastating.
Having a robust security culture is only one side
of the equation. The other is having dependable
commercial crime insurance crafted with a
global perspective – the kind of additional
protection that Zurich delivers to customers
around the world.
Your challenges today…
• Economic uncertainty – History shows
a direct correlation between periods of
economic turmoil and uncertainty with the
frequency of commercial crime. Factors
including financial targets are now more
difficult to achieve, fear of jobs under threat
and bonuses not being paid, are all incentives
to commit fraud. Staff reductions and other
cost cutting measures are more likely during
a downturn, resulting in reduced monitoring,
creating an opportunity for crime to thrive.
40% of organizations feel the risk of crime
within their organization has risen due to
the recession*.
• Technology – is vital to business. Web-based
applications dependent on the Internet and
portable devices such as laptop computers
and blackberries have made business
technology a target for commercial crime
within many organizations. Cyber crime is a
constant threat as thieves attempt to assume
identities, commit credit card fraud and
maliciously set loose viruses aimed at
destroying hardware and software. The
challenge is set to rise as internet download
speeds increase, a higher number of mobile
operating systems become available and the
portable nature of media means data loss can
be hard to control.
• Globalization – As organizations diversify
and expand internationally, cross-border
crime, fraud and professional gangs have
become emerging threats. Expansion into
emerging markets presents many growth
opportunities for business’, but may increase
exposure to commercial crime due to less
stringent regulation and law enforcement,
or your own unfamiliarity with local customs
and cultures. Unfortunately, while emerging
markets offer significant opportunities, some
are burdened by lingering ‘cultures of
corruption’ that may increase your exposure
to crime loss.
Emerging markets experience much higher
levels of fraud than other markets*.
Corruption and bribery have shown a
regional bias, and are most prevalent in the
developing markets of Asia-Pacific, South
America and Africa, where such acts can
be viewed as accepted practices when
conducting business.
50% think incidences and the cost of fraud
is now greater than before*.
*PricewaterhouseCoopers ‘The Global Economic Crime Survey’ 2009.
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Zurich Commercial Crime Insurance
Global reach, financial strength and
knowledge to protect your business
Commercial crime is a global challenge;
it demands a solution with a global view.
Zurich delivers that perspective and more.
We understand the risks well. We know that
some companies have viewed crime coverage as
an optional, elective coverage in the past, relying
instead on their internal and external security or
fraud prevention methods. Crime may not be
perceived as a significant risk, while many find
it difficult to accept that otherwise trusted
employees may be disloyal or commit criminal
acts. But the statistics show us that it can and
does happen:
One in three organizations reported economic
crime in the last 12 months within their company*.
In 2008, over 70% of deliberate data leaks were
from internal employees**.
*PricewaterhouseCoopers ‘The Global Economic
Crime Survey’ 2009.
** Persimmon Survey 2008
Prudent organizations view commercial crime
coverage not as an option, but as an essential
coverage that must be a part of any broad risk
management program. However, some customers
have viewed commercial crime coverage as a
commodity product that is largely the same from
one insurance provider to the next.
Why choose Zurich
commercial crime cover?
• Globally compliant commercial crime
programs in a constantly expanding number
of countries.
• Broadest external and third party definitions
in the market.
• Market leading capacity offering.
• Global team of expert claims professionals,
delivering when it matters consistently,
wherever in the world a loss occurs.
• Access to an appointed global network of
market leading loss adjustors, who move
quickly to minimize the damage and pursue
recovery of the loss wherever possible.
• Risk management supported by thought
leadership, risk insights and industry
knowledge, including recommendations
to help you fight crime.
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Prudent
organizations view
commercial crime coverage
not as an option, but
as an essential
coverage.
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Helping you meet the
challenges of commercial crime
No matter how vigilant your organization may be, there
is no guarantee that your efforts will defeat the criminals.
However, Zurich will be there to help you deal
with the financial losses you face, if you are the
victim of internal or external crime. Our global
team of approximately 100 commercial crime
underwriters offer vast experience and
knowledge regarding the challenges and risks
of crime. They will craft a flexible insurance
program that will meet your individual needs.
Our team understands the impact crime can
have on your business and their knowledge can
help you make informed decisions to prevent or
more readily detect crime and thereby reduce its
impact on your business.
When a loss is discovered
Our global claims team will consult and work
with your internal audit, security, legal and risk
management departments, not only with regard
to the mitigation of your loss, but also to assist
you in the development and implementation of
processes and best practices, that could help you
prevent or more rapidly detect such incidents in
the future.
They have the local expertise needed to drive
a rapid and effective investigation, providing
assistance in securing the recovery of lost assets
where possible, in addition to recommending the
installation of processes and procedures that may
help you prevent similar incidents in the future.
We will pull together a team, including
representation from our global network of market
leading loss adjusters, who are highly experienced
in the handling of crime losses. Depending on the
type of claim, they will step in once a crime is
identified to quickly minimize the impact on the
company and pursue recovery.
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CASE
STUDY
Travel documents forged
for personal gain
How Zurich’s crime coverage
gives you peace of mind
• Internal and external crime
• Losses on or off the premises
Global business needs have led to increased business travel. For one
global accounting and auditing firm, this brought internal fraud into the
business via forged travel documents and expense claims.
In this case, a trusted employee took advantage of gaps in the approval
and sign-off process of business expenses. The employee began to forge
travel documents for trips that were not taken and reaped the funds
through the expense system.
The fraud was detected by an employee in the travel department who
questioned the need for so many trips, upon which the employee
confessed and now faces court action. The employee kept the necessary
travel documents on his PC, which he completed and presented for
payment. Upon investigation it was discovered that the employee was
going through an expensive divorce and could not afford the legal costs.
How Zurich helped
• As soon as we were notified of the claim we immediately stepped in
and appointed one of our loss adjustors, who investigated the claim
thoroughly with the insured.
• We recommended a new authorisation process which included
advising that two senior employees must sign-off business travel,
as well as authorization of expense payments.
Outcome and benefit for the customer
• Through investigations the insured was able to recover some
of the GBP 600,000 fraud.
• Thorough investigation of internal processes resulted in
implementation of a new procedure, which helped to reduce the
likelihood of a similar type of crime occurring.
• Loss of money, property
and securities
• Interest receiveable or payable
resulting from the loss
• Automatic cover for subsidiaries and
run off cover for ceased subsidiaries
• Extended claims reporting period
• Extentions available including –
investigation costs, contractual
penalties and business interruption.
Broad definitions of cover
• Dishonesty, theft and fraud
by employees
• Hacking and cyber vandalism
• Theft of stock by employees in
collusion with third parties
• Forgery and fraudulent alteration
• Counterfeiting or computer fraud
by third parties
• Credit card fraud
• Cyber extortion
• Any other crime where a third party
obtained a financial gain and intended
to cause the company a loss.
Another
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An international program from Zurich delivers
the compliance and security you need
Zurich helps keep your program compliant
with local insurance regulations and laws.
As a global insurer, Zurich knows only too well
the importance of compliance with local laws
and regulations. Whether you do business in a
handful of countries or your activities span the
globe, you need an insurer with an extensive
network, who understands the nature of the
risks you face.
International programs from Zurich
With more than 30 years experience in the
delivery of international programs, Zurich is now
the first insurer to deliver international programs
for commercial crime. We are constantly
extending our offering to ensure we can provide
customers with compliant policies in an
expanding number of countries.
Zurich has a global footprint, which is broad and
capable enough to give you certainty that your
local policies comply with local country insurance
and tax regulations and that your claim can be
paid locally.
Non-compliance with local laws and regulations
can have serious consequences, up to and
including delayed claims payments, fines and civil
penalties. At Zurich, we have solutions in place to
resolve many of the uncertainties associated
with local insurer licencing and insurance
premium tax laws, giving you greater assurance
that your international program is compliant.
Zurich – A leader in international programs
• More than 30 years experience in the delivery of international programs.
• A global network of Zurich-owned locations and partner companies delivering
services to our customers.
• 2,700 international program customers around the world in 2009.
• A global team of more than 8,000 claims professionals.
For further
information about
our Commercial Crime
proposition speak with
your usual Zurich contact
or your broker.
www.zurich.com
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Where to find us
Asia Pacific
Australia
Zurich Australian Insurance Limited
ABN 13 000 296 640 AFSL No. 232507 of 5 Blue Street, North
Sydney, NSW 2060, Australia
China
Zurich Insurance Company Ltd, Beijing Branch
Suite C, 21st Floor, Gateway Tower A
No. 18 Xia Guang Li, North Road, East Third Ring
Chao Yang District, Beijing 100027, China
Hong Kong
Zurich Insurance Company Ltd, Hong Kong Branch
24-27/F, One Island East, 18 Westlands Road
Island East, Hong Kong
A company incorporated in Switzerland with limited liability.
Global Corporate in Asia Pacific or GCiAP is a brand name
for Zurich Insurance Company Ltd, Hong Kong Branch
Indonesia
P.T. Zurich Insurance Indonesia
Sudirman Plaza, Indofood Tower, 8th Floor, Jl. Jend. Sudirman Kav.
76-77-78, Jakarta 12910, Indonesia
Japan
Zurich Insurance Company Ltd,
Japan Branch
Shinanomachi Rengakan
35 Shinanomachi, Shinjuku-ku, Tokyo 160-0016, Japan
Malaysia
MCIS Zurich Insurance Berhad
Wisma MCIS ZURICH
Jalan Barat
46200 Petaling Jaya, Malaysia
New Zealand
Zurich Australian Insurance Limited
(incorporated in Australia) trading as Zurich
New Zealand ABN 13 000 296 640
55-65 Shortland Street, Auckland 1010, New Zealand
Singapore
Zurich Insurance Company Ltd, Singapore Branch
50 Raffles Place, 29-01 Singapore Land Tower, Singapore 048623
Taiwan
Zurich Insurance (Taiwan) Ltd
No. 56, Tun Hwa North Road, Taipei, 10551, Taiwan
www.zurich.com.tw
Europe
Belgium
Zurich Global Corporate Benelux
Zurich Insurance plc, Belgium Branch
Avenue Lloyd George 7, 1000 Brussels, Belgium
Reg. No: 0882 245 682
Denmark
Zurich Global Corporate Nordic
Zurich Danmark, Filial af Zurich Insurance plc Ireland
(CVR.nr. 31184606, Erhvervs- og Selskabsstyrelsen)
Edvard Thomsens vej 10
DK-2300 Copenhagen S, Denmark Zurich Global Corporate Nordic is a
trading name for Zurich Danmark, Filial af Zurich Insurance plc, Ireland
Finland
Zurich Global Corporate Nordic
Zurich Insurance plc, Finland Branch
(Reg No: 1996555-8, National Trade Register)
Tammasaarenkatu 3, FI-00180 Helsinki, Finland
Registered Office of Zurich Insurance plc:
Zurich House, Ballsbridge Park, Dublin 4, Ireland
France
Zurich Global Corporate France
Zurich Insurance plc, France Branch
96, rue Edouard Vaillant, 92309 Levallois-Perret cedex, France
RCS Nanterre 484 373 295
Germany
Zurich Global Corporate Germany
Zurich Versicherung Aktiengesellschaft (Deutschland)
Solmsstrasse 27-37, D-60444 Frankfurt am Main, Germany
Ireland
Zurich Insurance plc
Zurich House
Ballsbridge Park, Ballsbridge, Dublin 4, Ireland
Registered in Ireland under company registration number 13460
Italy
Zurich Global Corporate Italy
Zurich Insurance plc – Rappresentanza generale per l’Italia Via Benigno,
Crespi 23, Milan, Italy I-20159
Zurich Insurance plc, Ireland, stock capital 125.000.000 i.v.
Companies Register of Milan n. 05380900968
ISVAP Companies Role n. 1.00066
Netherlands
Zurich Global Corporate Benelux
Zurich Insurance plc, Netherlands Branch
Zurichtoren
Muzenstraat 31, NL-2511 VW Den Haag, Netherlands
Chamber of commerce Den Haag No: 27293233
Norway
Zurich Global Corporate, Nordic
Zurich Insurance plc, Norway Branch
(Reg No: 991 803 017, Foretaksregistret)
Drammensveien 149, P.O Box 574 Skøyen, NO-0214 Oslo, Norway
Zurich Global Corporate, Nordic is a trading name for Zurich Insurance
plc, Norway Branch
Spain
Zurich Global Corporate Spain
Zurich España Compañía de Seguros y Reaseguros, S.A.
Via Augusta, 200, E-08021 Barcelona, Spain
Sweden
Zurich Global Corporate Nordic
Zurich Insurance plc, Sweden Branch
(Reg No: 516403-8266 Bolagsregistret)
Linnégatan 5, P.O. Box 5069, SE-102 42 Stockholm, Sweden
Zurich Global Corporate, Nordic is a trading name for Zurich Insurance
plc, Sweden Branch
Switzerland
Zurich Global Corporate Switzerland
Zurich Insurance Company Ltd
Austrasse 46, CH-8045 Zurich, Switzerland
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United Kingdom
Zurich Global Corporate UK
London Underwriting Centre, 3 Minster Court, Mincing Lane, London
EC3R 7DD, England.
www.zurich.com/corporatebusiness
Zurich Global Corporate UK is a trading name of:
Zurich Insurance plc.
A public limited company incorporated in Ireland Registration
No. 13460. UK branch registered in England and Wales Registration
No. BR7985.
Registered Office: Zurich House, Ballsbridge Park, Dublin 4, Ireland. UK
Branch Head Office: The Zurich Centre, 3000 Parkway, Whiteley,
Fareham, Hampshire PO15 7JZ.
Authorised by the Irish Financial Regulator and subject to limited
regulation by the Financial Services Authority. Details about the extent
of our regulation by the Financial Services Authority are available from
us on request. FSA registration number 203093. These details can be
checked on the FSA’s register by visiting their website www.fsa.gov.
uk/register or by contacting them on 0845 606 1234
Latin America
Argentina
Zurich Argentina Cia. de Seguros S.A.
Cerrito 1010, Buenos Aires C1010AAV, Argentina
Bolivia
La Boliviana Ciacruz de Seguros y Reaseguros S.A.
Calle Colón No. 288, 2nd floor, La Paz, Bolivia
Middle East
United Arab Emirates
Zurich Insurance Company Ltd (DIFC Branch)*
The Gate Building
Level 06, The East Wing
Dubai International Financial Centre
P.O. Box 50289
Dubai, United Arab Emirates
Tel: +971 (0)4 363 4444
www.zurich.com
*Zurich Insurance Company Limited (DIFC Branch) is registered in
Dubai, UAE. Registration number 0840. Regulated by the Dubai
Financial Services Authority.
This is intended as a general description of certain types of insurance
and risk engineering services available to qualified customers through
the companies of Zurich in the Middle East. Zurich does not guarantee
particular outcomes and there may be conditions on your premises
or within your organisation which may not be apparent to us. Your
policy is the contract that specifically and fully describes your
coverage. The description of the policy provisions gives a broad
overview of coverages and does not revise or amend the policy.
Coverages underwritten by member insurance companies of the
Zurich Financial Services Group, including but not limited to, Zurich
Insurance Company Ltd. Certain coverages are not available in all
jurisdictions. Certain coverages may be written on a non-admitted
basis. All coverages presented in the brochures are subject to
individual insurance policy terms, conditions, exclusions and limitations.
Brasil
Zurich Brasil Seguros S.A.
Rua Dr. Geraldo Campos Moreira, 240/5,6,7 andar
Brooklin Novo, Sao Paulo-SP, Brasil
Chile
Chilena Consolidada Seguros
Generales S.A.
Av. Pedro de Valdivia 195, Santiago, Chile
México
Zurich, Compañía de Seguros, S.A.
Boulevard Manuel Avila Camacho
No. 126, Col. Lomas de Chapultepec, 11000 México
Venezuela
Zurich Seguros, S.A.
Avenidas Francisco de Miranda y Tamanaco con Calle
Mohedano Edificio Centro Seguros Sud América
pisos 6,7 y 8, Urb. El Rosal, Caracas, Venezuela
11
129559A01 (03/10) ZCA