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Crime insurance in Michigan: connect check access, bank statements, and employee dishonesty

Start with your actual exposure: staff or contractors who prepare and process checks, employees who can take money or property, and external actors who divert electronic payments. Michigan's current UCC text includes certain retained contractors in its check-endorsement rule when entrusted with responsibility, and it requires prompt statement review and notice to the bank about unauthorized check payments. Those bank rules do not decide what a crime policy covers or when you must report a claim. 1,2

What Is Crime?

Crime insurance can help reimburse specified business losses from theft and fraud, including employee theft and forgery. Compare those protections separately and ask whether a payment sent after an impersonation scam is covered. Read the national Crime guide.

What to Watch for in Michigan

  • Map check duties, including contractor work

    Michigan Compiled Laws §440.3405 includes an independent contractor and the contractor's employee within “employee” for this section when retained by the employer. Responsibility includes signing, processing incoming checks, preparing outgoing instruments, supplying payee information, or controlling disposition; mere access to stored or transported instruments is excluded. Share that workflow with the broker and ask whether each worker fits the policy's employee definition. The UCC section governs instrument-payment rights, not insurance coverage. 1

  • Build a repeatable review of paid checks

    Under §440.4406, a customer must use reasonable promptness to examine a statement or available items and promptly notify the bank after reasonably discovering an unauthorized signature or alteration. The section also addresses later items by the same wrongdoer after a reasonable examination period of up to 30 days and has a one-year outside preclusion rule. Assign statement review, preserve paid-item images, and ask the broker for the separate policy discovery and reporting periods. 2

  • Quote diverted wires separately from check theft

    A vendor or executive impersonation can cause an authorized employee to send company money to a criminal. Ask which insuring agreement and sublimit would be considered for social engineering, fraudulent funds transfer, computer fraud, employee dishonesty, forged checks, and money in transit. If a transfer is diverted, the FBI says to contact your financial institution immediately and report the BEC to IC3; notify the insurer under the policy's actual terms as well. 3

Who Regulates Insurance in Michigan

Michigan Department of Insurance and Financial Services

The Michigan Department of Insurance and Financial Services licenses agents, agencies and companies, supervises insurance business, and helps resolve complaints. You can use its state lookup or complaint service to check a license or raise an insurance issue. 4,5,6

Surplus-lines tax and stamping office

Reported tax rate: 2.5% combined surplus-lines tax and regulatory fee on premium when Michigan is the insured's home state Michigan's Property and Casualty Guaranty Association is funded by insurers authorized to transact in the state; an insurer procured solely under Chapter 19 is expressly not considered authorized for that chapter. The surplus-lines policy must carry a notice that the insurer is not Michigan-licensed and insolvency claim payment may not be guaranteed. 7,8,9

Providers With Documented State Licenses

These providers publish a national listing for Crime; the state records document licenses for the entities and roles shown below. Some records rely on company-reported information rather than independent regulator verification. A national listing does not confirm the product is available in Michigan. Check the regulator’s license lookup and confirm state availability for your business when requesting a quote.

  • CoalitionCoalition Insurance Solutions, Inc.Insurance producer, Surplus-lines broker · checked 2026-09-28Coalition’s license page lists producer and surplus-lines licenses for Coalition Insurance Solutions, Inc. in all 50 states and the District of Columbia. The page separately lists insurers; this record covers the brokerage entity only. 11
  • CorgiCorgi Insurance Services, Inc.Insurance producer · checked 2026-09-28Corgi’s company producer-license table lists 50 jurisdictions: 49 states and the District of Columbia, including DC license 3003091619. New Mexico does not appear in the table and is not included here; the omission does not establish that Corgi is unlicensed there. The company-reported table has no stated as-of date and does not establish product availability. 12
  • VouchVouch Specialty Insurance Services, LLCInsurance producer, Surplus-lines broker · checked 2026-09-28Vouch’s licenses page, effective January 16, 2025, lists producer licenses in all 50 states and DC. Its separate surplus-lines table includes Idaho number 870820, while a footnote says Georgia and Idaho do not issue agency-level surplus-lines licenses. Because those statements conflict for Idaho, this record keeps Idaho producer-only and does not treat the table number as established agency surplus-lines authority. The page is company-reported and does not establish product availability. 16

Questions to Ask Before You Buy in Michigan

  1. How does the policy define employee and covered property for direct staff, retained contractors, and third-party service providers?
  2. Does the quote cover an employee's dishonest act involving both company money and other property, and how is repeated or ongoing theft treated?
  3. Which limits, sublimits, retentions, or verification conditions apply to forged checks, computer fraud, fraudulent transfer, and social engineering?
  4. What discovery, notice, proof-of-loss, and cooperation time periods apply, and how do they differ from bank notice duties?
  5. Who reviews statements and check images, and what evidence should be retained for a claim?

Crime in Michigan: FAQ

Does the one-year UCC rule give a year to report an insurance loss? 2

No. Michigan §440.4406 addresses assertions against a bank concerning unauthorized signatures or alterations on instruments. Your crime policy has its own notice and proof-of-loss terms, which should be checked and followed. 2

Does the UCC employee definition guarantee contractor theft coverage? 1

No. Section 440.3405 allocates rights in a defined fraudulent-endorsement setting. The policy's employee definition, insuring agreement, covered property, exclusions, and limits control the insurance analysis. 1

Crime in Other States

Other Coverage in Michigan

Sources

  1. Michigan Compiled Laws, Chapter 440, Uniform Commercial Code. Michigan Legislature; §440.3405, pp. 111–112; official chapter compilation complete through PA 103 of 2026, rendered September 27, 2026; opened full PDF and text. Accessed 2026-09-28.
  2. Michigan Compiled Laws, Chapter 440, Uniform Commercial Code. Michigan Legislature; §440.4406, pp. 143–144; subsections (1)–(6), including prompt examination, same-wrongdoer period, one-year preclusion, and retained item copies; current official compilation as above. Accessed 2026-09-28.
  3. Business Email Compromise. Federal Bureau of Investigation; “Report BEC” and “How BEC scams work”; page opened September 28, 2026. Accessed 2026-09-28.
  4. Department of Insurance and Financial Services. Department of Insurance and Financial Services; Official regulator and insurance oversight. Accessed 2026-09-28.
  5. Insurance License Lookup. Department of Insurance and Financial Services; State-designated producer/company search. Accessed 2026-09-28.
  6. File an Insurance Complaint. Department of Insurance and Financial Services; State complaint process and contact. Accessed 2026-09-28.
  7. Surplus Lines Licensee: Filing the Surplus Lines Taxes. Michigan Department of Insurance and Financial Services; DIFS current filing page: Michigan-home-state placements taxed at 2.5% combined tax and regulatory fee; separate fees charged to insured are not included in premium tax base. Accessed 2026-09-28.
  8. Michigan Insurance Code, Chapter 500. Michigan Legislature; MCL 500.7911(1)-(2), 500.7921(b): association membership tied to insurer authorized to transact; insurer procured solely under Chapter 19 is expressly not authorized for guaranty chapter. Accessed 2026-09-28.
  9. Michigan Insurance Code, Chapter 500. Michigan Legislature; MCL 500.1922 requires policy notice that insurer is not Michigan-licensed and insolvency claim payment may not be guaranteed. Accessed 2026-09-28.
  10. Licenses. At-Bay; Current producer introduction and state table; At-Bay Insurance Services LLC; P&C and surplus-lines identifiers. Accessed 2026-09-21.
  11. Licenses and Carriers. Coalition; Licenses and Carriers, re-read 22 September 2026: Insurance Licenses table for Coalition Insurance Solutions, Inc., national producer number 18419475, with producer and surplus-lines numbers for all 50 states and DC including California 0L76155, Georgia 196479, Texas 2199630 and 2205589, Pennsylvania 815731 and 817452, Colorado 539028 and Wisconsin 3000108852. Insurance Carriers table naming, with NAIC numbers, Allianz Underwriters Insurance Company 36420, Arch Specialty Insurance Company 21199, Ascot Specialty Insurance Company 45055, Ascot Insurance Company 23752, Aspen Specialty Insurance Company 10717, Chaucer Insurance Company DAC, Coalition Insurance Company 29530, Fireman's Fund Indemnity Corporation 11380, Fortegra Specialty Insurance Company 16823, Lloyd's of London, MSIG Specialty Insurance USA Inc. 34886, MS Transverse Specialty Insurance Company 41807, Steadfast Insurance Company 26387, Vantage Risk Specialty Insurance Company 16275 and Zurich American Insurance Company 16535. Accessed 2026-09-22.
  12. Insurance Producer Licenses. Corgi Insurance; Current complete Insurance Producer Licenses table for Corgi Insurance Services, Inc.; 50 rows covering 49 states and DC (DC 3003091619); no New Mexico row; no NPN or as-of date shown. Accessed 2026-09-28.
  13. About Hiscox US Insurance. Hiscox; Hiscox Insurance Company Inc. NAIC 10200 as Chicago, IL domiciled insurer admitted or licensed in all 50 states and D.C.; Hiscox Inc. as general agent and Lloyd’s coverholder for Syndicates 33 and 3624; surplus-lines placements through licensed surplus-lines brokers; A.M. Best rating statement. Accessed 2026-09-16.
  14. Licenses. ERGO NEXT Insurance; Current entity-by-state license table reopened 28 September 2026: 50 rows under Next First Insurance Agency, Inc., including Washington, DC; New York rows instead list Next Insurance Services PC-1423070 and AP Intego BR-1198885. Accessed 2026-09-28.
  15. Insurance Licenses by State. TechInsurance; Current state table; identifies TechInsurance as a division of Specialty Program Group LLC d/b/a SPG Insurance Solutions; lists DC 3000041536 and labels Rhode Island “Individual licenses,” without an agency license number. Accessed 2026-09-28.
  16. Licenses. Vouch; Effective 16 January 2025: Vouch Specialty Insurance Services, LLC, NPN 19926463; P&C table (50 states and DC); surplus-lines table includes Idaho 870820; footnote says Georgia and Idaho do not issue agency-level surplus-lines licenses; Idaho retained as producer-only due to conflict. Accessed 2026-09-15.

Updated .

This guide is informational and does not determine whether a policy is available or meets your needs. Editorial policy. To suggest a correction, contact Spot with a supporting source.

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