What Has Changed Recently With Insurance?

All about Employee Dishonesty Insurance Policy

An employee dishonesty insurance policy covers businesses against losses resulting from the dishonesty of employees such as the theft of money, property, or security. An employee dishonesty insurance policy can as well be referred to as; crime fidelity insurance policy, fidelity bond policy, employee dishonesty bond policy as well as crime coverage policy.

It will be a wise decision to cover your business against employee dishonesty which causes most witnessed financial losses in many businesses. There are some financial losses in a business that cannot be taken care through the security enhancements such as embezzlement, vendor kickbacks, employee shoplifting, check tampering, phony invoices, and receipts.

That therefore means that you cannot be wrong in taking an employee dishonesty insurance policy to secure your business more. The employee dishonesty insurance policy is detailed. The best thing about an employee dishonesty insurance policy is that it caters for several business losses under one cover.

Employees, trustees, members, partners, independent contractors, and former employees are some of the people that are covered against dishonesty by the employee dishonesty insurance cover. Whenever looking for an employee dishonesty insurance policy, it is important to inquire from the insurance company of your choice on the insurance policy that suits your business.

The employee dishonesty insurance policy also covers offers some optional coverage against forgery, computer fraud, data theft, money order and counterfeit fraud and funds transfer fraud. Again, you should consult your insurance company on which one of the optional coverage favors your business.

Money orders, money, bank notes, securities, and tangible property are some of the properties that an employee dishonesty insurance policy covers against. That is particularly important for the organization since the company owners cannot be able to follow-up on all the actions of the employees. The employees may be too many, and there may be very many activities such that those losses can only be discovered through an extensive audit of the company’s financial affairs.

A fidelity bond policy may as well be extended to a third party. The third party company, therefore, benefits from your employee dishonesty insurance policy in case your employees cause any financial losses resulting from theft.

There are several exclusions in an employee dishonesty insurance policy which includes accounting errors, math errors, theft by the policyholder and government seizure, among others. Generally, the employee dishonesty insurance policy does not cover for losses resulting from human errors. Unless you can prove that a business loss resulted from employee dishonesty and not human error, you will not be eligible for compensation under the employee dishonesty insurance policy. A late report on employee dishonesty losses may render the termination of the policy coverage.

Understanding Policies

Discovering The Truth About Tips