Excellent point and one that I hadn't thought of. I manage several small real estate portfolios that are organized as LLC's, S-Corps, or LP's and have a fiduciary duty in that capacity. But these are all very long running and among friends so the sharp edges have never been an issue. That would not be the case for anyone using QB in a professional capacity providing accounting and tax services. I would be very interested in hearing what your insurance carrier has to say. 

I once used QB for payroll but gave that up long ago and have used ADP with great success. They now even administer the 401k program for my employees. Highly recommended.