Responding to Pressure to Provide CPA-to-Lender Comfort Letters
By Suzanne M. Holl, CPA Complying with requests from banks and other lenders for assurances regarding clients’ … Read more
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Five Common Missteps in Managing CPA Liability Risk
Managing CPA liability risk exposures is a complex process, and it’s easy to underestimate the potential for risk along the way. The following five missteps can be avoided by being aware and taking the right actions. 1. Not discussing questions about the insurance application with your underwriter or agent. Whether it’s for a new or … Read more
Why It’s Important to Maintain Prior Acts Coverage
Do Not Lose Coverage for Your Prior Acts! Most Accountants Professional Liability insurance policies are “claims made and reported” policies. Two important features of claims made and reported policies include: The insurance applies only to claims that are first made and reported to the insurance company during the policy period. The insurance provides coverage for … Read more
How to Respond to Subpoenas
CPA firms are often uncertain about whether or how to respond to a subpoena, as they also need to comply with a number of rules and regulations that are intended to protect client confidentiality. The following Q&A focuses on understanding the nature of subpoenas and how CPA firms can minimize their professional liability exposures when … Read more
When to Use Mediation and Arbitration
Alternative dispute resolution (ADR) can be an effective way to reduce the time, expense and stress of resolving professional liability conflicts when used in the appropriate circumstances. Mediation and arbitration are forms of ADR that can reduce the cost and the emotional roller-coaster ride of disputes. The major distinction between these two ADR solutions is … Read more
The Dos and Don’ts of Disengaging
By Duncan B. Will, CPA/ABV/CFF, CFE Whether due to the “great resignation,” the “great reassessment,” or the “baby boomer departure,” the CPA profession is … Read more
