Fidelity Insurance vs Fiduciary Insurance

I was asked recently about fidelity insurance.  As I mentioned in a prior post, fidelity insurance is employee theft coverage; AKA employee dishonesty insurance. Fiduciary coverage is very different. Fiduciary coverage is liability protection against allegations that you have violated the federal law governing employee benefit plans - known … [Read more...]

Fidelity vs Employee Dishonesty

Client Question - What's the difference between fidelity insurance and employee dishonesty insurance?Answer - The terms are synonymous.  The following all mean the same thing:Employee Crime InsuranceEmployee Theft InsuranceFidelity InsuranceFidelity BondEmployee Dishonesty InsuranceEmployee Dishonesty BondCrime Fidelity InsuranceCrime Fidelity Bond … [Read more...]

Help For Bankers Who Buy Insurance For Their Banks

Here is the point I make with bank clients that seems to help the most with understanding bank insurance issues:For insurance coverage of theft and fraud, look to your bond. Employee theft, robbery, ATM theft, computer hackers... For coverage for allegations of negligence, go to your directors and officers, general liability, auto liability, … [Read more...]

Bankers Bond – Employee Cancellation

I work with a great many banks, helping them buy and manage insurance.Today I reviewed a new policy for a client.  It's a policy from a new bank insurer, FinSecure.I have long railed about the cancellation provision in all bonds that ends a bank's insurance coverage when a bank officer learns of a past dishonest act of an employee.So, ABC Bank's … [Read more...]

Contractors and Bonds

A bond is a financial guarantee usually in regard to the performance work.Contractors doing work for municipalities or government agencies often must obtain a bond that guarantees that work will be completed as agreed. If there is a default, the bonding company responds with a payment.Unlike insurance, a bond requires that repayment be made to the … [Read more...]