Here, we explain the role Rural Protect played in helping a victim of fraud recover funds that were mistakenly paid into a fraudster’s bank account.
Business type: Farm Shop
Section of cover: Company Legal Liability
Applicable cover: Third Party Fraud and Forgery
Circumstance: The farm shop fell victim to an email interception scam.
Claim value: £5,393
The scenario:
A supplier sent an invoice to the farm shop for payment of their goods, a fraudster intercepted the invoice from the supplier and advised of a change of bank details. The fraudster then continued to chase the payment over various emails, purporting to be the supplier every time.
What happened?
The email chain was handled by two separate staff members and neither realised that they were continuously responding to a fraudster. A payment of £5,393 was made to the fraudulent account details by the two members of staff. The business only discovered that they had been victim to fraudulent activity when the genuine supplier contacted them chasing for payment on an invoice that was still outstanding.
The outcome:
Unfortunately, the farm shop’s bank was unable to recover the payment that had been made to the wrong account however, Rural Protect was able to reimburse the farm shop the full amount that was paid as the policyholder was covered against Third Party Fraud and Forgery.
Things to consider:
The increased adoption of computers and information technology in businesses amplifies the importance of fraud insurance, yet the risks associated with these threats are still often overlooked. Rural Protect provides cover for Company Legal Liability (CLL) which includes Third Party Fraud and Forgery cover; an area of cover which can significantly impact businesses financially if they ever face a situation that threatens the idea of them losing their own money to someone else’s financial gain.
If you would like to know more about Rural Protect, call us on 01653 609090 or email enquiries@hbunderwriting.co.uk.
