Embezzlement

What Does Embezzlement Mean?

Embezzlement is a financial crime that can be committed by an individual or a group collaborating to execute the offense. It involves either outright theft or irresponsible and malicious behavior in a fiduciary role.

Insuranceopedia Explains Embezzlement

Embezzlement often occurs in the workplace, and when it happens on a large scale, it can jeopardize the entire business. Retrieving embezzled funds can be a lengthy process in court, and litigation can be expensive. However, there are business insurance policies designed to protect companies that fall victim to embezzlement. Some policies cover a portion of the lost funds, while others may reimburse the entire amount. Additionally, certain policies can assist businesses in their legal efforts to recover embezzled funds.