• CAMICO Brings its CPA Professional Liability Program to North Dakota

• Ronald C. Parisi Joins CAMICO Mutual Insurance Company as National Program Director

• CAMICO Updates Guide to Engagement Letters

• CAMICO Expands Loss Prevention Service

• CAMICO Names Two New Directors, Committee Member

• CAMICO Mutual Insurance Company Passes $50 Million in Policyholders' Surplus

• CAMICO Receives Utah Association of CPAs Endorsement

• When Competency Becomes an Ethics Issue...or More

• Malpractice Insurance Provider Selected for New Jersey Society of CPAs

• CAMICO Declares Policyholder Dividend

• Growth Spurs Management Realignment At CAMICO

• CAMICO Founding Members Offer 20 Risk Management Tips

• IGAF Worldwide & CAMICO Announce Joint Professional Liability Program

• CAMICO Enhances Web site for CPA Policyholders

• CAMICO Appoints Georgia CPA Carolyn C. Riticher to its Board of Directors

• CAMICO Receives Virginia Society of CPAs Sponsorship

• CAMICO Creates Unique Coverage Feature

• CAMICO Claims Study Reveals Most Losses Occur in Tax Practice

• Charts Documenting Key Findings from the Above Study

• CAMICO Claims Expert Offers Advice for CPAs Entering Tax Season

CAMICO Brings its CPA Professional Liability Program to North Dakota

October 31, 2007 - Created by CPAs to protect CPAs, CAMICO Mutual Insurance Company's professional liability and risk management program is now available to certified public accountants in the state of North Dakota.

With its entry into North Dakota, CAMICO is now offering professional liability insurance for CPAs in 45 states and the District of Columbia.

"Working with state CPA societies and associations across the country, we have been able to build a program that stays closely in step with changes in the profession," said John A. Dodsworth, CPA, CAMICO chief executive officer. "We are pleased to be able to offer our insurance and risk management solutions to CPAs in North Dakota." 

North Dakota CPAs are encouraged to learn more about CAMICO and the variety of services offered by visiting www.camico.com or calling toll-free at (800) 652-1772.

CAMICO, the nation's largest CPA-owned provider of professional liability insurance and risk management services for accountants, serves more than 60,000 staff members of accounting firms in 45 states and the District of Columbia.  The company was the first liability carrier to offer a comprehensive risk management program as a value-added component of the policy package.  Free continuing professional education (CPE) is an essential element of the program, and CAMICO is registered with the National Association of State Boards of Accountancy as a sponsor of continuing professional education on the National Registry of CPE Sponsors.  

CAMICO is sponsored by state CPA societies and associations in Arizona, California, Colorado, Indiana, Kentucky, Mississippi, Missouri, Nevada, New Jersey, New York, South Carolina, Tennessee, Utah, Virginia and Washington.

Ronald C. Parisi Joins CAMICO Mutual Insurance Company as National Program Director

October 11, 2007 - CAMICO Mutual Insurance Company, the nation's largest CPA-owned provider of professional liability insurance and risk management services for accountants, has appointed Ronald C. Parisi, CPA, JD, as national program director.  In that capacity he is responsible for servicing CPA firms with complex professional liability risks and exposures. Parisi will be based in Chicago.

Prior to joining CAMICO, Parisi was the director of accountants liability for Fireman's Fund Insurance Company in Chicago. There he provided Accountants Professional Liability (APL) insurance for Top 100 accounting firms.

"Ron Parisi brings to CAMICO a thorough understanding of professional liability insurance and risk management for CPAs, and his expertise will augment our existing strength in those areas," said John A. Dodsworth, CPA, CAMICO chief executive officer.    

Parisi's prior experience includes five years of corporate law practice. He also worked as a CPA in audit and tax departments of PricewaterhouseCoopers, LLP and Coopers & Lybrand.          

A certified public accountant with a Juris Doctor from the University of Notre Dame Law School in Notre Dame, Indiana, Parisi also holds a Bachelor of Science in Accounting from the University of Scranton in Scranton, Pennsylvania. He is a member of the Professional Liability Underwriting Society and the American Institute of Certified Public Accountants.

CAMICO Updates Guide to Engagement Letters

September 12, 2007 - Eldercare accounting services, theft of confidential electronic data, and tax return extension calculations are among the new topics covered in the recently released seventh edition of the CPA's Guide to Effective Engagement Letters, written by senior staff members of CAMICO, the nation's largest CPA-owned provider of professional liability and risk management services for accountants.

The seventh edition provides new engagement letter language and commentary in those areas as well as in:

• Partnership income tax preparation for an LLC;
• S-corporation income tax preparation; and
• Non-profit (Form 990) tax return.

Authors Ron Klein, JD, CFE, Vice President/Claims Counsel; Ric Rosario, CPA, CFE, Executive Vice President/Risk Management; and Suzanne Holl, CPA, Vice President/Loss Prevention, have built on CAMICO's successful work in the effective use of engagement letters for accountants.

The book includes a companion CD-ROM with sample letters that are easily customized and printed, along with a new collection of case studies on liability issues that illustrate what to do - and what not to do - in an engagement. The new case studies cover:

• Uncooperative general partners;
• Buy-sell agreements; and
• Unqualified and unresponsive co-trustees.

The new material is in addition to many other features from earlier editions of the book, such as wording and letters for:

• Internal controls;
• Section 404 consulting;
• e-Filing of tax returns;
• Outsourcing to third-party service providers;
• AICPA Interpretation 101-3;
• 1031 tax engagements; and
• a sample Record Retention and Destruction Policy.

The 836-page book contains a comprehensive collection of letters for all attest, accounting, tax, and consulting engagements. It is available to the general public for $137.00, but a 10-percent discount is available via the CAMICO web site at www.camico.com. Click on "Risk Management Services" and then on "Practice Management Tools" for the order form.

 A 20-percent discount is available to CAMICO policyholders who order via the Members-only web site under "CAMICO Partnerships" and "CPAs' Guide to Effective Engagement Letters."

CAMICO Expands Loss Prevention Service

Three New Staffers Counsel Policyholders on Complex Practice Issues

July 25, 2007 - Policyholders of CAMICO Mutual Insurance Company (www.camico.com), the nation's largest CPA-owned provider of professional liability and risk management services for accountants, are receiving more risk management advice and service from a trio of highly experienced accountants recently added to the company's Loss Prevention department.

The addition of Bob Roston, J.D., Randy R. Werner, J.D., CPA, and Duncan B. Will, CPA/ABV, CFE, is driven by higher demand for risk management advice and CAMICO's continued growth and national expansion. The three will provide advice primarily through the CAMICO policyholder hotline.

"These professionals bring a wealth of experience in their areas of expertise, and we're excited to be able to transmit their knowledge to our policyholders," says Suzanne M. Holl, CPA, and vice president of Loss Prevention Services for CAMICO. "The advice our Loss Prevention team provides not only helps keep our policyholders out of trouble, but if they do happen to become involved in client disputes, we can put people in their corner who will help solve the problems they're facing."

The continuous changes in professional standards and the confusion stemming from the changes have led to a growing appetite among firms of all sizes for more and deeper knowledge about practice and risk management, Holl notes.

With more than 80 years of experience among them, Roston, Werner and Will are now advising CAMICO policyholders on a daily basis, providing solutions and presenting educational seminars around the country. Following is a brief description of their roles and experience:

Bob Roston is a tax analyst with CAMICO, responsible for consulting with CPA policyholders on certain complex, technical tax issues. His 30-plus years in tax accounting include Big Four experience and tax counsel and managerial experience in the high-tech industry. He began his career in Los Angeles as a tax accountant in public practice.

He later worked for more than 25 years as a tax counsel, tax manager and tax director in Silicon Valley, where he performed tax research, tax planning, tax compliance, tax provision, and tax audit work. He also provided tax advice on a variety of corporate tax matters, including income tax, sales and property tax, retirement and stock option plans, and foreign taxation. He holds a Bachelor of Science in Accounting and Marketing from the University of California, Berkeley and a law degree from the UCLA School of Law. He also earned a Master of Laws in Taxation from the Georgetown University Law Center.

Randy Werner and Duncan Will are loss prevention specialists responding to CAMICO loss prevention hotline inquiries and speaking to CPA groups on various topics.

Werner has 24 years of tax and accounting experience, including regional accounting firm experience as well as Big Four public accounting experience in federal and state tax. She has also practiced as a sole practitioner in estate planning. A member of the California State Bar Association since 1983, she is a member of the Bar's Taxation section as well as a working member of the Taxation Section's Procedure and Litigation Committee.

She earned a Bachelor of Science in Commerce from the Santa Clara University School of Business, a law degree from the Santa Clara University School of Law, a Master of Laws in Taxation from Golden Gate University, and a Master of Science in Accounting from San Jose State University.

Will's 28 years of accounting experience include public accounting, forensic accounting, and consulting, in addition to audit and tax compliance. He began his accounting career as a staff accountant in the Washington D.C. area and has spent most of his career in California and Florida. Will is Accredited in Business Valuation, a Certified Fraud Examiner, and an active member of the Association of Certified Fraud Examiners.

He earned a Bachelor of Science in Accounting from the University of Maryland and has studied accounting and taxation at the University of Baltimore, Golden Gate University and Florida Atlantic University.

They join several other highly experienced resource experts at CAMICO, including:

• Jeffrey C. Hohman, CPA, and June Thornton, loss prevention specialists;
• John F. Raspante, CPA, M.S.T., national account advisor;
• Gail A. Dennis, CPCU, RPLU, vice president of underwriting;
• Ron Klein, J.D., CFE, vice president - claims counsel;
• Christopher G. Piety, Esq., vice president of claims;
• Ric Rosario, CPA, CFE, executive vice president - risk management; and
• John A. Dodsworth, CPA, CEO and director.

CAMICO Names Two New Directors, Committee Member

CPAs Andrew Eassa of Syracuse, New York,
Bryan Polster of Palo Alto, California, and
Greta Tosi-Miller of Tysons Corner, Virginia
 
June 28, 2007 - CAMICO Mutual Insurance Company (www.camico.com), the nation's largest CPA-owned provider of accountants professional liability insurance, announced it has elected Andrew M. Eassa, CPA/ABV, CVA, and Bryan C. Polster, CPA, to its Board of Directors, and Greta Tosi-Miller, CPA, as a new Member-at-Large of the company's Claims and Loss Prevention Committee.

Eassa, a founding principal of Firley, Moran, Freer & Eassa, P.C., a public accounting firm based in Syracuse, New York, was elected in February and replaced the late Robert C. Daney, CPA, who had been a member of the CAMICO Board since 1999.

Polster is managing partner of Frank, Rimerman & Co. LLP in Palo Alto and was elected to the CAMICO Board in June. He replaced Kenneth J. Ashcraft, CPA, who had served on the Board since CAMICO's inception in 1986. The departure of Ashcraft from the CAMICO Board is a milestone: He is a founding member of the company and chaired the task force that studied the insurance environment and recommended that CAMICO be formed.

Tosi-Miller is a senior partner with Goodman & Company, a CPA firm with more than 300 professionals and 11 offices in Virginia and Maryland. She was the managing partner of Crutchley, Marginot & Tosi before it merged with Goodman & Company in 2004.

"We're fortunate to have experienced professionals like Andrew Eassa, Bryan Polster, and Greta Tosi-Miller serving our policyholder members," says Lou Barbich, CPA and chairman of the CAMICO Board of Directors. "Because of our expansion as a company, we're able to draw from a national base of experience among our own policyholders, and that translates into a larger pool of outstanding CPAs to serve on the governing bodies for CAMICO and its policyholders."

About the New Board and Committee Members

Andrew Eassa - President and managing principal of his firm's operating committee, Eassa co-manages the firm's business valuation practice. He has more than 30 years of experience in the areas of business valuation, litigation support, financial analysis, strategic planning and accounting, audit and tax-related compliance.

Eassa is a member of the American Institute of Certified Public Accountants (AICPA), the New York State Society of CPAs, and the National Association of Certified Valuation Analysts. Active in community affairs, Eassa is president of the Board of Directors of the Elmcrest Children's Center, a director and treasurer of the Child Welfare League of America; a director of the Community Hospital Foundation, and a member of the hospital's finance committee. He is also a member of the Niagara University accounting department advisory board.

Bryan Polster - A practicing CPA since 1978, Polster manages a multi-office accounting and consulting practice based in Palo Alto, California. Frank, Rimerman & Co. LLP provides accounting, tax, and consulting services to private and public enterprises in many different industries, including technology, real state, venture capital, and high-net-worth families and investor groups. The consulting services include business process improvement, information technology, litigation support, business planning, mergers and acquisitions, wealth management, corporate finance, and valuations.

He serves as a member of the AICPA Governing Council and on numerous committees of the AICPA, including the Professional Ethics Executive Committee, the Nominations Committee and the Virtual Grassroots Panel.

In California, Polster serves as a director of the California Society of Certified Public Accountants (CalCPA) and on CalCPA's Strategic Vision Advisory Task Force. He is also a director of Baker Tilly USA, LLP, a director of the Sobrato Family Foundation, and a member of CAMICO's Audit Committee.

Greta Tosi-Miller - She joined Crutchley, Marginot & Tosi in 1985 after spending eight years in the tax practice of a national public accounting firm and a number of other large local firms. She is a frequent speaker and lecturer at various business and association meetings on a variety of technical and practice management topics in accounting.

She holds a Bachelor of Science in Business Administration from Ohio State University, is a member of the AICPA and the Virginia Society of Certified Public Accountants, and serves on the latter's Management of an Accounting Practice Committee for Northern Virginia.

CAMICO Mutual Insurance Company Passes $50 Million in Policyholders' Surplus

Professional Liability Carrier Publishes 2006 Audited Financial Statements and Annual Report; Receives Ninth Consecutive 'Excellent' Rating from A.M. Best

May 9, 2007 - CAMICO Mutual Insurance Company, the nation's largest CPA-owned provider of professional liability insurance for Certified Public Accountants, has passed $50 million in policyholders' surplus, a significant financial milestone for the mutual insurance carrier.

Policyholders' surplus is a key indicator of financial health and claims paying ability. CAMICO's surplus has grown from approximately $26 million in 2000 to its current level of $50.2 million as of December 31, 2006.

CAMICO announced the surplus milestone in conjunction with the release of its audited financial statements and annual report for 2006, both of which are available today online at www.camico.com under "About CAMICO."

The insurer also announced it has earned its ninth consecutive "A-" (EXCELLENT) rating from A.M. Best, the major rating agency for insurance carriers. A.M. Best cites CAMICO's "excellent capitalization, sound balance sheet, improved geographic spread of risk, and consistently high policyholder retention [at 95 percent for 2006]... derived from the company's extensive knowledge of the CPA profession."  Best also cites CAMICO's "close relationships and endorsements by 15 state CPA societies."

CAMICO further noted that because of the increase in policyholders' surplus to more than $50 million, the financial size category class of VI will change to VII in 2007.

Other financial highlights for CAMICO in 2006 include:

• Gross written premium passing $70 million to reach $71.5 million - $6.2 million more than the 2005 figure and a 9.5 percent increase.
• Statutory admitted assets exceeding the $150 million mark, increasing by $24.0 million over 2005 to reach $158.0 million.
• A dividend of more than $1.4 million, paid to policyholders in March 2007.

"One of the distinctive benefits of being a CAMICO policyholder is the ability to share in the mutual success of the program," said Louis Barbich, CPA, CAMICO chairman of the board. "CAMICO's proactive risk management services not only help our member-owners stay out of trouble, but such services help control the costs of litigation and enable us to return funds not needed for the payment of claims."

CAMICO Receives Utah Association of CPAs Endorsement

March 9, 2007 - The Utah Association of Certified Public Accountants (UACPA) has named CAMICO Mutual Insurance Company as the endorsed provider of professional liability and related risk management services for UACPA members.

Created by CPAs to protect CPAs, CAMICO is the nation's largest CPA-owned mutual insurance company and the second largest provider of CPA professional liability insurance nationally. In addition to insurance coverages, the company provides comprehensive risk and claims management services designed to help CPA firms improve practices and minimize losses on a proactive basis.

"CAMICO's specialized risk management expertise, developed from its close affiliation with the profession, can assist our members with a wide variety of practice issues," Bryan C. Bolander, CPA, president of the UACPA, said. "We believe that UACPA members can benefit from such expertise and that CAMICO is committed to taking an active role in assisting our members."

John A. Dodsworth, CPA, CAMICO CEO, said, "The endorsement of the Utah Association of CPAs reaffirms that CAMICO is succeeding in its mission to stay closely in step with the changes in the profession and to provide a stable, state-of-the-art liability insurance program for CPAs. We look forward to working closely with the Utah Association in serving its membership."

The UACPA (www.uacpa.org) supports the accounting profession and its approximately 2,400 members who serve in public accounting, business and management, government, education and other fields. The UACPA provides its members with strategic education, leadership development, beneficial alliances, and public awareness initiatives.

CAMICO Mutual Insurance Company (www.camico.com) currently serves nearly 7,000 accounting firms and 60,000 staff members in 44 states and the District of Columbia. CAMICO is sponsored by state CPA societies/associations in Arizona, California, Colorado, Indiana, Kentucky, Mississippi, Missouri, Nevada, New Jersey, New York, South Carolina, Tennessee, Utah, Virginia and Washington.

When Competency Becomes an Ethics Issue...or More

February 28, 2007 - The current shortage of qualified staff has led accounting firms into an ethical challenge with the potential for significant damage to the profession, according to a national expert on risk management for CPA firms.

The difficulties firms have had in finding and retaining qualified staff during the past several years has led to a problem of inadequate competency, says John F. Raspante, CPA, an advisor with CAMICO Mutual Insurance Company.

He notes that the problem has been compounded by the reduction of the Big Five to the Big Four and the cascading of extra work to mid-sized firms and then to smaller firms. The resulting surplus of work and the dearth of experienced CPAs have created a business environment in which too many firms are accepting engagements for which they are not qualified.

"Firms seeing the current environment as an opportunity to obtain new clients and increase their billings will do better by considering the increased risk exposures from accepting engagements that are not a good fit for the firm's expertise," Raspante says. 

"Substantial losses in revenue and billable time, as well as damage to reputations, can come from disappointing clients and becoming embroiled in litigation. Further, violations of professional and ethical standards as a result of incompetent work can potentially put a firm's licenses in jeopardy," he adds.

Raspante points to CAMICO claims experience, which shows that CPAs are most at risk when expanding into new service niches without adequate preparation.  Statistics show that once a firm has entered a niche, it needs to practice in it often enough to stay current and proficient in it.

The chart below, "Loss Ratios vs. Service Concentration" shows that services that represent 65 percent or more of a firm's service concentration produce loss ratios of about 25 percent (i.e., 25 cents of every premium dollar is a loss).  Services that represent 15 to 65 percent of a firm's service concentration produce loss ratios of about 70 percent.

But the kicker is in services representing less than 15 percent of a firm's service concentration: Loss ratios rise to a staggering 225 percent.  Clearly, dabbling in an area where the firm is not practicing the services often enough is a highly risky activity.

Codes of Conduct

The issue of competence is addressed in the AICPA Code of Conduct under ET Section 56, Article V: Due Care, as well as in several state codes of conduct. Article V, Section .03 of the AICPA code states that competence "establishes the limitations of a member's capabilities by dictating that consultation or referral may be required when a professional engagement exceeds the personal competence of a member or a member's firm."

Raspante recommends these basic options to dabbling: 

• Refer clients to other practitioners who have the requisite expertise in a specific area; and/or
• Consult with other practitioners to acquire the expertise needed in a specific area.

Malpractice Insurance Provider Selected for New Jersey Society of CPAs

Jan. 8, 2007 - The New Jersey Society of CPAs (NJSCPA) announces that it has selected CAMICO Mutual Insurance Company, of Redwood City, CA and The McLachlan Kane Insurance Agency of Somerville, NJ as the NJSCPA's sole preferred provider carrier and agent, respectively, of accountants' malpractice insurance.

The NJSCPA Insurance Trust recently concluded an extensive evaluation of professional liability insurance providers for the purpose of securing the best combination of policy benefits, responsive service and low rates for its members.

The NJSCPA took great care to collect and evaluate submissions from major providers operating in New Jersey. James Bourke, CPA, and President of NJSCPA, indicated that the final selection was based upon the exclusive CPA focus and financial strength of the carrier. Those features combined with the extensive knowledge, expertise and policyholder advocacy demonstrated by McLachlan Kane. Mr. Bourke indicated that this new benefit assures NJSCPA members of the best coverage, professional service and most favorable rates.

CAMICO is the nation's largest CPA-owned mutual insurance company. It was formed in 1986 by a group of CPAs for the sole purpose of providing other CPAs in the profession with professional liability coverage at stable rates. Said Bourke, "We were also impressed by CAMICO's dividend program, which under favorable circumstances, returns to our members any excess premiums after the payment of claims and operating expenses."

McLachlan Kane is a statewide insurance agency specializing in professional liability. "We are proud to be the only sponsored insurance agency of the New Jersey Society of Certified Public Accountants. Members should anticipate the highest level of personal attention and should call us now for help in understanding this new benefit," said Henry Kane, managing partner.

McLachlan Kane is the CPA's direct link to the benefits of this new program. The agency serves firms of all sizes, from the sole practitioner to some of the biggest names in accounting in New Jersey.

The New Jersey Society of Certified Public Accountants, with more than 14,500 members, represents the interests of the accounting profession and advances the financial well-being of the people of New Jersey. The NJSCPA plays a leadership role in supporting the profession by providing members with educational resources, access to shared knowledge and a continuing effort to create and expand professional opportunities.

Contact
McLachlan, Kane Insurance Agency 
Somerville, NJ
Henry Kane
908-526-0500

CAMICO Declares Policyholder Dividend

December 6, 2006 - CAMICO Mutual Insurance Company (www.camico.com) announced it will distribute a dividend of more than $1.3 million to firms with active policyholder status as of January 2, 2007 that have paid premiums on policies written between Jan. 1, 2002 and Dec. 31, 2005. The dividend consists of collected premiums that were not used for claims payments or operating expenses.

As a mutual insurance company, CAMICO is owned by its policyholders and returns to them any monies remaining after the payment of claims and operating costs. The 2006 dividend was recently approved by the company's Board of Directors and will be fully distributed early next year.

Since 1998, CAMICO has declared more than $31.7 million in returns to its member policyholders.

"This dividend underscores solid expense management by the company and serves as additional confirmation that our exclusive focus on CPA firm risk management is effective," said John Dodsworth, CPA, CEO of CAMICO.

Since its inception 20 years ago, CAMICO has achieved steady growth and has established a financially sound company to fulfill the long-term insurance needs of CPA firms. The company currently has total assets of more than $150 million and serves nearly 7,000 policyholder firms with underwriting, claims management, and loss prevention services.

A.M. Best, the nation's premier rating agency for insurance companies, has consistently rated CAMICO A- (excellent) for financial strength and claims paying ability.

Growth Spurs Management Realignment At CAMICO

November 16, 2006 - Robust growth and continued expansion of the operations of CAMICO Mutual Insurance Company have resulted in management realignments in the company. John A. Dodsworth, CPA, chief executive officer and director of CAMICO, announced that the following officers have been named to the positions indicated:

• Ric Rosario, CPA, CFE, Executive Vice President - Risk Management;
• Stuart E. Olson, CPA, Executive Vice President - Operations/CFO;
• Ron Klein, J.D., CFE, Vice President - Claims Counsel; and
• Christopher Piety, Esq., Vice President of Claims.

Dodsworth characterized the changes as a reflection of the company's evolution.

"Our operations have grown to the point where a team working together to exercise management oversight is more effective," he said. "In addition to the responsibilities Ric Rosario and Stu Olson have in their respective functional areas, they assist me and the CAMICO Board of Directors with respect to the executive management of the entire company. The change in their titles reflects this new dynamic and is in recognition of their invaluable contributions to the company."

The new positions for Klein and Piety are the result of a transition of claims management and better utilization of claims expertise in high impact areas.

In Klein's new role, his key responsibilities will be to counsel the claims department on high exposure claims and to work on special projects as directed by the claims department and the executive team. Klein managed the CAMICO claims department for 20 years, since the inception of the company in 1986. "Ron Klein's tremendous knowledge and expertise will be invaluable in his new role," Dodsworth said.

Chris Piety will be responsible for the management of the CAMICO claims department and of all claims brought against CAMICO policyholders. "Chris Piety has demonstrated his outstanding knowledge and ability to manage accountants liability claims in a manner consistent with the unique CAMICO approach, as well as overall management of the claims department," Dodsworth said.

CAMICO Founding Members Offer 20 Risk Management Tips

20 Tips from 20 Years

October 26, 2006 - This year marks the 20th anniversary of CAMICO Mutual Insurance Company. After two decades of dialog with its CPA policyholders, CAMICO has become a national repository of risk management knowledge for accounting firms. A mutual insurer owned and operated by CPA policyholders, CAMICO recognizes that its success is largely due to the acquired experience and learning of those CPAs.

Following are 20 tips and thoughts from leaders in four of CAMICO's founding, 20-year member firms - one for each year of service:

1. Before entering a new engagement, be sure you have the human and professional resources to back up the scope of work. (Armanino McKenna)

2. Perform a thorough background check on all potential new clients, including inquiring with former CPA firms, before accepting an engagement. (Kirsch, Kohn & Bridge)

3. Provide continuous training opportunities for your employees in the area of risk management. Be sure all employees understand the firm's appetite for risk and the kinds of clients it wants to engage. (Goldstein Munger & Associates Financial Advisors)

4. Don't dabble in high-risk or technical engagements that require specialized expertise or competency that you haven't acquired yet. (Bartlett, Pringle & Wolf)

5. Be willing and ready to turn down clients that are too risky or don't match your firm's expertise. (Armanino McKenna)

6. Continually evaluate each client relationship. Whenever there is a material change with your client (e.g., business change, new management, new products), or new accounting or tax issues, reevaluate the relationship from a risk management perspective. (Kirsch, Kohn & Bridge)

7. Develop strong client acceptance procedures and don't comprise. (Armanino McKenna)

8. Become adept at setting and documenting client expectations so there is no perception gap that could lead to a lawsuit. (Goldstein Munger & Associates Financial Advisors)

9. Communicate early, often and clearly with clients on all engagements and projects, and document all conversations and communications and keep engagement letters current. (Kirsch, Kohn & Bridge)

10. Create a team to evaluate new engagements to ensure the quality of the work product. (Armanino McKenna)

11. Perform due diligence in vetting other professionals you will be relying on; e.g., the actuaries for the pension plan you are auditing must be reputable. (Bartlett, Pringle & Wolf)

12. When you partner with other providers on behalf of clients, be sure to carefully control the communications between your firm and theirs to avoid misunderstandings. (Armanino McKenna)

13. Disclose clearly to clients how you are paid and what your arrangements with third-party providers are. (Goldstein Munger & Associates Financial Advisors)

14. Understand which issues are critical to third parties. How will the work product be used by all parties? Pay extra attention to the parts of the work that are going to be relied upon for critical or high-risk transactions. (Bartlett, Pringle & Wolf)

15. Exercise strong due diligence in tax areas-often the areas of highest risk exposure-and stay at the leading edge of knowledge and changes in tax codes, tax law, and tax strategy. (Kirsch, Kohn & Bridge)

16. Stay current with the standards, rules and regulations governing specific types of industries and entities. Know how standards, rules and regulations affect the way various circumstances are handled. (Bartlett, Pringle & Wolf)

17. Be active in your CPA societies to know what is happening in your field. The AICPA and state CPA societies are instrumental in helping practitioners stay current. (Bartlett, Pringle & Wolf)

18. Perform due diligence on your own firm's internal financial controls and security controls. (Kirsch, Kohn & Bridge)

19. If you need to disengage a client, craft your disengagement letter carefully and have it vetted by other partners in your firm as well as your professional liability carrier. (Goldstein Munger & Associates Financial Advisors)

20. Contact an expert at your professional liability carrier whenever you have a question about an engagement. (Goldstein Munger & Associates Financial Advisors)

About the founding members

Armanino McKenna LLP
This full-service, San Ramon, California, firm has grown by leaps and bounds since the Enron debacle changed the competitive landscape of the accounting profession. Feasting off of referrals from national firms and "orphaned" clients found on the open market, Armanino McKenna has become the largest California-based accounting and consulting firm by revenue according to Accounting Today magazine.  www.amllp.com

Bartlett, Pringle & Wolf LLP
Bartlett, Pringle & Wolf LLP is a full-service CPA firm that has served the Santa Barbara community for more than 50 years. The firm's 60 professionals specialize in accounting, tax for businesses, estates and individuals, audit, information systems, accounting software, financial planning, wealth management and business consulting services.  www.bpw.com

Goldstein Munger & Associates Financial Advisors
An independent financial and investment advisory firm registered with the Securities and Exchange Commission, the San Ramon firm began operations in 1979. It guides clients in establishing financial goals, developing a plan for achieving those goals, and helping with the implementation of that plan.  www.goldsteinmunger.com

Kirsch, Kohn & Bridge LLP
Founded in 1960, this Encino, California, firm focuses on financial and tax planning services, evaluating companies' financial controls, operational efficiency, risk management, and accounting information systems, taking on the role of business advisor as well as accountant. In the area of tax and tax planning, it takes on complex, sophisticated clients from high-tech to retail and entertainment concerns.
www.kkbcpa.com

IGAF Worldwide & CAMICO Announce Joint Professional Liability Program

Atlanta, GA October 12, 2006 - IGAF Worldwide, one of the oldest, largest, and most well-respected accounting associations in the world, has reached an agreement with CAMICO Mutual Insurance Company to provide professional liability insurance and risk management services for the association's members in the United States.

As a benefit of membership, IGAF Worldwide offers its 150 member firms a number of services and competitive rates with alliance partner companies around the world. Under the new alliance with CAMICO, IGAF Worldwide member firms in the U.S. are eligible to take advantage of a specially tailored professional liability program. Based on member firms pooling their risk through the CAMICO mutual program, firms will participate in a program that offers the potential to return any excess funds not needed to pay claims and expenses in the form of dividends.

"One of the primary roles of IGAF Worldwide is to provide tools to help our member firms grow and improved their operations," said Kevin Mead, President and Executive Director of IGAF Worldwide. "This alliance partnership with CAMICO will be another important component of our plan to help member firms in North America to achieve their firm development goals. We look forward to acting as a conduit that allows our members access to this exciting resource for professional liability and risk management services." 

Based in Redwood City, CA, USA, CAMICO currently provides professional liability insurance coverage to CPA firms in 44 states and ranks as the nation's second largest provider of accountants professional liability and risk management services. The agreement with IGAF Worldwide is based on CAMICO's 20 years of experience focusing on liability risk within the public accounting profession.

"The IGAF Worldwide program reaffirms that CAMICO is continuing to stay closely in step with the profession and to provide a stable, state-of-the-art liability insurance program for CPA firms of all sizes," said John A. Dodsworth, CPA, CEO of CAMICO.  "We look forward to working closely with IGAF Worldwide in the U.S. to deliver the program to its members."

In addition to insurance coverages and risk management services, CAMICO will provide IGAF Worldwide with educational sessions on topical issues at conferences, a quarterly risk management newsletter, and in-firm loss prevention CPE programs for member firms.

About IGAF Worldwide

IGAF Worldwide is one of the oldest, largest, and most well-respected accounting associations in the world, comprising over 150 highly successful independent accounting firms in 61 countries. Founded in 1977, IGAF Worldwide provides member firms with tools and resources to help them furnish superior accounting, auditing, and management services to clients around the globe. Through IGAF Worldwide, member firms offer the strength and capabilities of a large, worldwide organization with technical depth and geographic reach impossible for a local firm alone. For more information about IGAF Worldwide and the services it offers its member firms and their clients, visit the IGAF Worldwide Web site at www.igafworldwide.org.

About CAMICO

CAMICO is the nation's largest CPA-owned mutual insurance company and second largest provider for accountants professional liability insurance and risk management services. The company serves nearly 7,000 accounting firms and 60,000 staff members in 44 states and the District of Columbia. CAMICO is sponsored by state CPA societies in Arizona, California, Colorado, Indiana, Kentucky, Mississippi, Missouri, Nevada, New York, South Carolina, Tennessee, Virginia and Washington.