Skip tracing is a valuable service offered by security companies, private investigators, and other professionals to locate individuals who have “skipped” town or disappeared without a trace. These individuals may be attempting to avoid legal actions, financial obligations, or other responsibilities. Skip tracers play a crucial role in helping their clients track down these elusive subjects. In this blog, we’ll discuss the importance of having insurance for a skip tracing business and how it can protect skip tracing companies, skip tracing professionals, and their clients. As an insurance producer, you can partner with Prime and offer skip tracing insurance to your clients in need of specialty coverage.
What is Skip Tracing?
Skip tracing is the process of locating individuals who have gone missing without providing any forwarding information. This technique is commonly utilized when a person is attempting to avoid legal actions, financial obligations, or other responsibilities. Skip tracers gather and analyze various types of information to locate the subject, such as public records, credit reports, social media profiles, utility records, vehicle registration information, employment records, and personal references. The skip tracer uses this information to create a profile of the subject’s habits, relationships, and routines, which can help in predicting their current location and potential future movements.
Why Do Skip Tracers Need Insurance?
Skip tracing can be a complex and time-consuming process that involves accessing sensitive information and making educated guesses about a person’s whereabouts. Professionals in this field face several risks that can result in financial losses or legal troubles. Some of these risks include:
- Errors and Omissions (E&O): If a skip tracer makes a mistake or fail to locate the subject, their client may suffer financial losses and hold the skip tracing business or professional accountable for those losses.
- Breach of Privacy: While accessing and analyzing personal information, your client might inadvertently violate an individual’s privacy rights, which can lead to legal actions against them.
- Third-Party Bodily Injury and Property Damage: In the course of your client’s investigations, they or their employees may accidentally cause injury to someone or damage their property, which can result in liability claims.
Having insurance for a skip tracing business can protect your clients from these and other risks, providing financial coverage in the event of a claim or lawsuit.
Types of Insurance for Skip Tracing Businesses
There are several types of insurance coverage that can benefit skip tracing businesses and professionals, including:
- Professional Liability Insurance (E&O Insurance): This policy covers claims arising from errors, omissions, or negligence in the course of skip tracing services. It can help pay for legal defense costs, settlements, and judgments.
- General Liability Insurance: This policy provides coverage for bodily injury and property damage claims that may arise during your client’s investigations. It can also cover claims related to advertising injuries, such as slander or copyright infringement.
- Commercial Property Insurance: This policy covers your client’s business property, such as the building or equipment, in case of damage or loss due to events like fire, theft, or natural disasters.
- Business Interruption Insurance: If a skip tracing business experiences a disruption due to a covered event, such as a natural disaster or fire, this policy can help cover the loss of income and additional expenses incurred during the period of restoration.
Prime Insurance Company: Comprehensive Insurance Coverage for Security Companies
At Prime Insurance Company, we understand the unique risks and challenges faced by security companies, including those specializing in skip tracing. We are committed to providing comprehensive insurance solutions tailored to the needs of businesses in the security industry. Our expertise extends beyond skip tracing to various aspects of security, such as security guards, security services, security dogs, and more.
As an excess and surplus (E&S) lines insurance company with an “A” (Excellent) rating from A.M. Best, Prime is well-equipped to handle specialty and unique risks. Our in-house underwriting, policy services, and risk management teams collaborate to provide a broad range of coverage options for your client’s security business.
Whether your clients specialize in skip tracing, security guard services, or any other aspect of the security industry, Prime has the expertise and resources to provide the insurance protection their business needs. Contact us today to discuss your client’s specific insurance requirements and let our team of professionals help safeguard your client’s business and their clients.
Skip Tracing Insurance
Insurance for skip tracing businesses and other security companies is essential to protect one’s company and clients from the risks associated with locating missing individuals and providing security services. By investing in the right insurance policies, business owners can focus on providing top-notch services without worrying about potential financial losses or legal troubles. With Prime as your insurance partner, you and your client can be confident that their skip tracing business is well-protected against the unique risks faced by the security industry.
To get a quote for skip tracing insurance, head over to our Insurance for Security Services page and click the “get a quote!” button to get started!
