Professional Liability Insurance
CPA Value Plan
FAQ
Do I need professional liability insurance?
Most of my practice is tax return preparation. How much risk does that carry?
As a small firm owner, won't I be paying for the risk of larger firms?
What services are covered by the CPA Value Plan?
Does the AICPA endorse this plan?
What other advantages does the CPA Value Plan offer?
If I have insurance,will there be an interruption in coverage if I switch to the CPA Value Plan?
If my firm increases our staff or billings, will I lose my coverage?
Who underwrites this insurance?
If I have a question about the Plan, what should I do?
Can I renew my CPA Value Plan policy online?
Do I need professional liability
insurance?
The AICPA recommends that all accounting firms carry professional
liability insurance. In today's litigious times, clients sue more
frequently for an increasing number of reasons. Many lawsuits arise not
only from errors and omissions, but from the failure to meet client
expectations and attempts by clients to recoup financial losses. Even if
you did nothing wrong, the cost of legal defense and settlement can be a
financial hardship. And the disruption to your practice could reduce
your billable time, and possibly expose your personal assets. That is
why all CPA firms should carry professional liability insurance.
Most of my practice is tax return
preparation. How much risk does that have?
Unfortunately, claims experience shows that tax engagements are the
leading cause of professional liability lawsuits. Defense attorney fees,
court costs, and settlement amounts can quickly add up and impact the
financial stability of small firms.
As a small firm owner, won't I be
paying for the risk of larger firms?
Only small CPA firms can qualify for the CPA Value Plan, because its
unique rating structure is based solely on the experience of small
practices. The risk is less complex for small firms, so the CPA Value
Plan is able to pass on significant savings to insureds.
What services are covered by the CPA
Value Plan?
The CPA Value Plan covers a broad range of accounting and consulting
services. These include tax planning and preparation, personal financial
planning, bookkeeping, compilations, reviews, audits, management
advisory services, EDP services and system consultations, general
business planning, and litigation support services. Click here for a detailed
description of coverage features.
Does the AICPA endorse this plan?
Yes. In fact, the CPA Value Plan is part of the AICPA Professional
Liability Insurance Program. As such, the CPA Value Plan is continuously
monitored by a committee of AICPA members in public practice to ensure
that it meets the needs of CPAs. This means you get all the coverage and
service that have made the AICPA Program so highly regarded, but at a
substantial savings for smaller firms.
What other advantages does the CPA
Value Plan offer?
It's easy to apply. The answers to a few questions are all that are
needed to prepare your coverage and rate quotation. You can even get
your quote in real time, right online. And now you can even purchase
your coverage online. Also, our premium financing option allows you to
make installment payments at very affordable rates. Apply Now
If I have insurance, will there be
an interruption in coverage if I switch to the CPA Value Plan?
No. If you apply and are approved before your current policy expiration
date, then you don't have to worry about having a period without
coverage when you switch to the CPA Value Plan. The available prior acts
provision protects you for claims filed during your policy period, even
if the incident occurred before your policy effective date provided you
had no knowledge of the incident. Simply stated, this means that once
you're insured with the CPA Value Plan and you cancel your current
coverage, the prior acts clause will give you uninterrupted coverage.
If my firm increases our staff or
billings, will I lose my coverage?
The CPA Value Plan provides for your firm's growth beyond the initial
eligibility requirements. If your firm experiences uncommon growth, you
can still continue coverage under the Premier Plan. This
flexibility helps you get the protection that's right for your firm's
needs.
Who underwrites this insurance?
The Plan's underwriter is Continental Casualty Company, one of the CNA
insurance companies. CNA is the market leader in accountants
professional liability insurance, with over 38 years of experience. You
can count on CNA to provide excellent claims and risk management
services, as well as the commitment and stability to ensure that your
insurance needs are met well into the future. To view information on
CNA's primary markets, financial highlights, ratings and investment
portfolio, go to CNA's
web site and click the
"
CNA At A Glance" link to access a PDF
containing the information.
If I have a question about the
Plan, what should I do?
As the AICPA Professional Liability Insurance Program Administrator, Aon
Insurance Services has a staff of knowledgeable service representatives
available to help you with coverage questions or any other Plan
concerns. You can either e-mail us
or call us toll-free at 1-800-221-3023.
Can I renew my CPA Value Plan
policy online?
Yes. You can renew your CPA Value Plan policy online during the 90 days
before your policy expiration date in the Policyholder Resource
Center. To renew your policy online, have your policy number,
four-digit PIN and credit card handy.
One or more of the CNA companies provide the products and/or services described. The information is
intended to present a general overview for illustrative purposes only. It is not intended to constitute
a binding contract. Please remember that only the relevant insurance policy can provide the actual
terms, coverages, amounts, conditions and exclusions for an insured. All products and services may
not be available in all states and may be subject to change without notice. CNA is a service mark
registered with the United States Patent and Trademark Office. Copyright © 2008 CNA. All rights
reserved.
Aon Insurance Services is a division of Affinity Insurance Services,
Inc.: in CA, MN & OK, (CA License #0795465) Aon Insurance Services is a
division of AIS Affinity Insurance Agency, Inc.; and in NY, AIS Affinity Insurance
Agency.