Debt collection agencies are highly regulated and serve an important purpose, representing clients and ensuring individuals and businesses pay off the debt they owe. Without debt collection agency services, your clients might lose a significant amount of money and run into financial difficulties themselves at no fault of their own.
However, there are lots of risks involved when you work as a debt collection agency. Since your services are often highly emotionally connected and so closely involved with the money, personal information and finances of your clients and your clients’ debtors, there is always a possibility that your business becomes caught in a lawsuit or liability claim.
With debt collection agency insurance from ALIGNED, you can operate safely and confidently while transferring and minimizing many risks. We partner with over 70 of Canada’s leading insurance companies to provide many types of insurance coverages and coverage limits for our client across Canada. You can speak with an insurance specialist to discuss the specific options and products available and recommend for debt collection agencies and we’ll secure the best policies for your business needs, preferences and budget.
Why Is Debt Collection Agency Insurance Important?
Debt collector agencies work closely with businesses and their debtors to ensure the business is paid what they are owed. However, no one likes to be told they owe money and tact, respect and diplomacy are all required. Often despite doing everything correctly, the person in debt or the business that is owed can sue a debt collection agency at any time.
Here are some scenarios where debt collection agency insurance can protect you:
- You make a filing error for your client’s document that results in a financial loss.
- Your client’s debtor accuses you of harassing them for debt payments.
- Your system is hacked and a ransom has been made to remove it so can again access the critical data/information needed to operate your business.
- A client injures themselves while visiting your agency.
With debt collection agency insurance from ALIGNED, you can stay protected against financial loss in these scenarios.
What Does Debt Collection Agency Insurance Include?
Cyber Liability Insurance – when accessing sensitive client information and company intel, cyber liability insurance can protect your business against the loss that your client suffers if their information is leaked and can help if a ransomware is discovered.
Commercial General Liability Insurance – protect your business against third-party claims of libel, slander, false advertising, property damage, and physical injuries.
Professional Liability Insurance – protects you against claims of error, negligence, omissions, or another failure to deliver promised services that has resulted in financial loss on the part of your clients.
Commercial Property Insurance – provides funds for repair or replacement of your physical assets against damage in the event of a fire, vandalism, flood, or other natural accident beyond your control.
Find the Right Debt Collection Agency Insurance from ALIGNED
ALIGNED works with Canada’s top insurance companies to provide custom insurance packages at affordable prices. Click Here To Get A Quote or contact one of our business insurance experts for information or with any questions you may have.