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Financial Institutions Crime

Our Financial Institutions Crime insurance protects your institution against financial losses caused by criminal events.

We will protect your institution against four main criminal events:

  • Internal crime
  • External ‘hard’ crime, such as loss or damage to property resulting from robbery
  • External ‘soft’ crime, such as fraud and counterfeiting
  • Electronic crime

We will support you with:

  • enhanced risk coverage
  • simplified and clearer globally consistent policy language adapted to reflect local single law requirements and legal exposures
  • improved contract certainty and coverage applicability
  • dedicated professional teams in underwriting, claims handling, captive and capital optimization, risk management and compliance
  • a global network that provides specific global services and solutions for financial institutions.

We constantly review our products to address crime and fraud coverage in light of developing financial activities, regulation and emerging risks.

We offer cover for banks and lending institutions, asset managers, investment advisors, investment managers, fund managers, mutual, hedge, real estate and private equity funds, venture capital firms, building societies, insurance and re-insurance companies, investment management companies, corporate financial services providers and other types of financial services provider.

  • What we cover

    Our insurance protects the parent company and all its subsidiaries and investment entities or funds, including those created or acquired during the policy period.

    Our Crime coverage extends in varying degrees to:

    • There are an increasing number of investigations by supervisory, regulatory and enforcement authorities into possible regulatory violations.
    • There is growing scrutiny on financial institutions' activities and business practices, leading to a significant increase in regulator fines and penalties, litigation and requested damages.
    • There has been an unprecedented increase in the litigation trends and demands for damages from institutional and private investors and customers.
    • We have seen a rising number of suits filed against companies globally, mainly alleging the breach of fiduciary duties, improper disclosures of risks related to investment products and misleading statements.
    • Upcoming regulations and reform are affecting the financial sectors with the aim to impose stronger controls, transparency and disclosures, enhanced governance and compliance standards.
    • Increasing disclosures are required in relation to business practices, products and services provided.
    • There are ever-increasing legal and regulatory requirements that numerous global financial institutions need to face while navigating the challenges posed by operating in divergent business cultures and managing complex IT systems.
    • We are seeing broadening vicarious liability and custodian liability imposed on financial institutions.
  • Protection in a challenging environment

    Our Financial Institutions Crime insurance can protect you against the unprecedented risks you face as a result of new technology, service diversification and increasingly sophisticated fraud attempts.

    Here are some of the challenges and trends that are increasing your potential liabilities.

    • The frequency and severity of financial crime related losses suffered by financial institutions have increased in the past years, as reported by recent global market surveys.
    • There has been growth in the threat of cyber-crime and security breaches of customer and confidential data affecting financial institutions, with significant potential collateral damage
    • Financial institutions are on the front lines of the fight against financial crime since they are made vulnerable by the range of client relationships they manage and their wide array of products, services, and transaction types – many complex and cross-border.
    • Financial institutions face ever-increasing legal and regulatory requirements while also navigating the challenges posed by operating in divergent business cultures and managing complex IT systems.
    • Tough internal controls and audit standards imposed on financial institutions combined with intensive due diligence in relation to mergers and acquisitions and corporate restructuring increase the likelihood of discovering internal or external fraud schemes.
    • There has been an increase in assets misappropriation and accounting frauds suffered by financial institutions.
    • There has been a sharp increase in frauds where senior management are involved.
    • There is a risk of inadequate fraud prevention (like failure to carry out fraud risk assessments) due to the size and complexity of large global financial institutions, whereas whistle-blowing mechanisms seem to be under-used and under-promoted by financial institutions.
    • We have seen confirmation that the financial services sector remains the fraudsters' target of choice.

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The product descriptions are never part of individual insurance offers or contracts but are general descriptions of insurance services and do not form part of any customers individual insurance cover.

Products and services vary by country
Because the needs of our customers are different, our products and services also vary around the world. Insurance and financial products and services are provided by licensed members of the Zurich Insurance Group (Zurich). Not all products or services listed are available in all jurisdictions or to all customers. Please contact your local Zurich office for details about the relevant products and services in your country. No warranties or guarantees are being made by Zurich based on statements on this website.


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