Business Glossary

insurance for accountants covering liability lawsuits arising from their professional activities. For example, an investor bases a buying decision on the balance sheet of a company's annual statement. The figures later prove fallacious and not according to Generally Accepted Accounting Principles (GAAP) . The accountant could be found liable for his professional actions, and would be covered by this policy.

insurance for accountants covering liability lawsuits arising from their professional activities. For example, an investor bases a buying decision on the balance sheet of a company's annual statement. The figures later prove fallacious and not according to Generally Accepted Accounting Principles (GAAP) . The accountant could be found liable for his professional actions, and would be covered by this policy. However, if the accountant ran over someone or damagedb property with a car, this policy would not provide coverage.