’Post pandemic economic uncertainty means businesses face a heightened risk of internal and external fraud,’ says chief executive
Allianz Trade has launched a standalone fraud insurance product for businesses following a post-pandemic rise in employee fraud and external scams in the UK.
In a statement released yesterday (20 July 2023), the trade credit insurer said the new product covers internal fraud by employees, such as bribery, embezzlement and misappropriation or theft.
It also covers external fraud, including robbery, burglary, intercepted payments, payments made on the basis of a forged order and impersonation fraud.
Impersonation fraud occurs when a criminal accesses a business’ email system or uses spoofing software to email employees with what appears to be a genuine email from the chief executive with urgent requests for payment.
The UK Finance Annual Fraud Report, which was published earlier this year (10 May 2023), revealed chief executive impersonation fraud rose by 6% to £13.4m in 2022.
Sarah Murrow, chief executive of Allianz Trade in the UK and Ireland, said: “The time is right to launch this new standalone cover in the UK in response to economic changes and growing interest in the market.
”Post pandemic economic uncertainty and increases in the cost of living mean that businesses face a heightened risk of internal and external fraud.”
‘Peace of mind’
Allianz Trade’s fraud insurance product will use a wide definition of “employee” in its wording, including full-time, part-time, temporary and contract workers.
Social engineering is covered as standard, while there is unlimited retroactive cover for losses incurred prior to inception.
The trade credit insurer will also offer customers a team of fraud specialists to assess claims and provide support in the aftermath of a fraud loss.
Steve Stennett, commercial director of Allianz Trade in the UK and Ireland, added: “Allianz Trade is already a key fraud insurer in Europe with more than 60 years’ experience in this market.
“Our comprehensive UK offering, built on our proven track-record in Germany, France, Belgium, and the Netherlands will provide businesses with peace of mind when it comes to fraud and to concentrate on what they do best.”