Fidelity Guarantee

It came to the attention of a Financial Director that a Clerk in the Accountants Department, on a salary of £13,000 per annum with a grown-up son and a husband in a job earning £15,000 per annum, was going on weekend trips to The Ritz in London, and had recently flown first class with her family to Hong Kong for a long weekend. How could she afford such trips? The answer lay in the fact that she was in charge of petty cash at Head Office, and had misappropriated nearly £250,000 in cash from her employers.

An RHP loss adjuster was appointed by the Insurer on cover at the time of the discovery of the loss. The two main issues in cases of this sort are “how much?” and “over what period?” Our investigation revealed that the thefts had been taking place over a number of years, and so RHP needed to inform all Insurers who had covered the company during this period, as they would all ultimately share the loss. RHP showed that the employee had banked all the monies stolen, which she had then spent by credit card. By liaising closely with the investigating Police Officers, an audit trail showing when she misappropriated monies and how she spent these monies soon emerged. As a result of RHP's involvement, systems were introduced by the Insured to prevent this type of theft happening again.