Established by the Austin, Texas-based Association of Certified Fraud Examiners, the weeklong campaign encourages business leaders and employees to take steps to minimize the impact of fraud by promoting anti-fraud awareness and education.
The association estimates that businesses around the world lose 5% of their annual revenues to fraud — or more than $3.5 trillion in U.S. dollars.
A single instance of fraud can be devastating: the median loss per fraud case in the association’s 2014 Report to the Nations on Occupational Fraud and Abuse study was $145,000. More than a fifth of the cases involved losses of at least $1 million.
Independent insurance agencies and brokers need to guard against fraud in their own offices, but more importantly, they need to help their small and mid-size business clients do the same.
Here are some basic steps you can share with your clients that they can take to lessen their vulnerability to fraud: