John Torvi is teaching a session at Scaling New Heights entitled “An Accountant’s Guide to Minimizing Professional Liability.” We asked John to share with you his thoughts on the
importance of risk management, what you can expect and why you should consider attending his session.
“It is no fun to be sued for malpractice, much less for breaching fiduciary duties or, even worse, fraud. Even a defensible lawsuit in which you ultimately prevail will cost attorneys’ fees below your insurance deductible, and will intrude upon you and your colleagues’ time, attention and emotions. And this is not to mention the damage done to your reputation.
Accounting professionals continue to unfortunately be sued for common malpractice issues. These include allegations of not applying prudent standards of care (especially when multiple standards may apply), exposure under securities laws, missed deadlines and missed or late filings, failure to develop, implement and consistently practice quality control measures, failure to detect fraud and the negligent preparation of tax returns or giving improper tax advice.
More recently, accountants and tax preparers have an additional and growing threat to their practice. That is, the loss of confidential client data through a privacy or cyber security breach. No longer just a concern for “big business”, the consequences of a privacy breach can be devastating to a small business. Whereas a malpractice claim may “only” involve a lawsuit, an event involving loss of data could also include civil penalties and state-mandated notifications and credit monitoring (if your firm practices or has clients in multiple states, the complexities of compliance and remediation can be staggering)."
What You Need to Know About the Session
Risk management is more than purchasing insurance coverage, and more than a policy and procedure manual stuffed in a desk drawer. In our session, we will provide you with practical information to use daily in managing your firm, including better understanding your professional insurance program, what acts or omissions result in lawsuits against accounting professionals and how to avoid those same problems. The co-presenters on this topic offer unique perspectives on this. As an insurance provider who has worked with business owners for over 25 years, I recognize that insurance and managing risk may not be a daily priority, or a professional’s best skill set. Consequently, poor decisions are sometimes made in purchasing the wrong coverage and in daily choices about what to do or not do when practicing one’s profession. The results can be disastrous and often lead to the need for the services of attorneys like this session’s co-presenter, Attorney Dax Watson. Dax is charged with defending accounting (and other) professionals in court when they are sued for malpractice. Witnessing firsthand what has gone wrong, how the suit was brought by the plaintiff and how the court and juries respond allows him to provide concrete tips to the audience to avoid similar experiences.
Why You Should Attend
In a conference filled with cool techy stuff and in one of the most beautiful places in the world, attending a session on accountants’ risk management may be the least appealing thing you will do at Scaling New Heights. On the other hand, it is the only session that will provide you with information on protecting your practice from lawsuits, privacy breach and inadequate insurance coverage. So when you go home with the latest knowledge in accounting software and an awesome tan, you will also be able to sleep a little better knowing that you have new ideas to minimize the risks in your practice.
It’s no fun getting sued. Join us on Wednesday, May 25th at 4:20 PM, you’ll be glad you did!”
About John Torvi
John Torvi is the Vice President of Marketing & Sales at the Herbert H. Landy Insurance Agency of Needham, MA. John has been in the insurance industry, focusing on the needs of business owners, for almost 25 years. He holds a Bachelors Degree from Providence College and a Masters Degree from Springfield College and is a frequent speaker and contributor to professional journals and conferences for the legal, accounting, real estate and insurance industries.
The Landy Agency is a national leader in providing professional insurance services for attorneys, real estate professionals and accountants. John can be reached at 781-292-5417 or firstname.lastname@example.org. Or visit www.landy.com for more information.