Insurance for Accountants & CPAs
Accountants and CPA firms handle some of the most sensitive financial data in any industry — SSNs, bank accounts, tax returns, and financial statements. This makes proper insurance coverage not just smart, but essential for protecting your practice and your clients.
Essential Accountant Coverages
Professional Liability (E&O)
Covers claims of tax filing errors, missed deadlines, audit failures, and negligent financial advice. This is your most important policy — one missed filing deadline can result in a six-figure claim.
Cyber Liability
Protects against data breaches involving client SSNs, bank account numbers, and tax records. With IRS identity theft on the rise, cyber coverage is critical.
General Liability + BOP
Covers your office space, equipment, and general business operations.
Common Accountant Claims
- Tax filing errors resulting in IRS penalties for clients
- Missed tax deadlines causing financial harm
- Audit negligence allegations
- Failure to detect fraud in financial statements
- Data breach exposing client SSNs and financial records
How Much Does CPA Insurance Cost?
Solo CPAs typically pay $800–$2,500/year for E&O coverage. Small firms (2-10 CPAs) pay $2,500–$7,000 depending on services offered, revenue, and claims history.
