Commercial crime insurance protects your organization's assets against loss attributable to dishonest acts. The policy may provide several types of protection within a single contract:
- Employee dishonesty (fidelity) coverage protects the organization against loss of money, securities, or other property arising through the dishonest acts of an employee. (The term "employee" may be expanded to include directors, trustees, and volunteers.) When Fidelity insurance is underwritten on a blanket basis, it applies to all individuals, without name or position specified.
- Forgery or alteration coverage protects the organization against loss arising from third-party forgery or alteration of checks, drafts, promissory notes, or similar instruments made or drawn by the policyholder or its agent.
Protection may also be available against:
- theft,
- disappearance and destruction of money and securities (inside or outside the premises), and
- robbery and safe burglary (inside or outside the premises).
Details:
Policy limits
Exclusions
Tip: Fidelity losses often involve more than just petty cash on hand. Consider the value of assets such as bank and investment accounts, and valuable property vulnerable to pilferage. A common rule of thumb suggests an amount of coverage equal to five percent of total assets.
Some commercial multi-peril policies include protection against loss of money or securities, rendering that coverage unnecessary.
Finally, reliance on computers and electronic data transfer as a financial transaction medium has led to the introduction of computer and wire transfer fraud protection.
Fidelity Liability Insurance with Church Insurance Agency Corporation