Section 2: Lesson 6 Crime, Employee Dishonesty and bonds Flashcards
If a business wants to protect itself against the possibility of theft and crime, what kind of insurance coverage would it need?
Crime and Employee Dishonesty
The following exposure would be covered by a Commercial Crime and Employee Dishonesty policy:
Embezzlement
Employee theft and dishonest can be written in three different ways: Scheduled persons, scheduled positions and…..
Blanket “all persons, all positions” coverage
Burglary is different from Robbery in that:
Burglary requrcirds evidence of forced entry
How are commercial crime or employee dishonesty securities valued?
Their value as of the date of discovery of the loss
Which type of bond would be used to cover the exposure to employee theft?
Fidelity bond
If a bank secures a $100k Fidelity bond on a newly hired Vice president, the bank would be considered the:
obligee
What kind of bond used as guarantee of honesty and protection against dishonesty?
fidelity bond
If a loss occurred during the bonding period, but was discovered after the bonding period has expired, what kine of trigger of coverage would be necessary for there to be coverage under the bond?
Loss Sustained
Fidelity bonds are generally used to insure against which of the following type of peri or exposure?
Embezzlement
A surety bond is different from a fidelity bond. A surety bond guarantees:
Performance
The party who guarantees the performance of builder to build a house is called:
A surety
A 4th party to a surety bond agreement who would be required by the surety to co-sign for a principal called:
The indemnitor
A bond required of he Executor of an estate that guarantees he or she faithfully carry out the terms of his or her judicial appointment is what type of bond?
Fiduciary bond
A bond required if a litigant wants to appeal a judgement or verdict is called:
Appeal Bond
