Bankers Blanket Bond


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Bankers Blanket Bond

A bond or insurance policy covering a bank in the event it loses money as the result of employee theft or fraud. Blanket fidelity bonds generally only cover situations in which an employee commits fraud for personal gain; they do not cover situations in which the employee, without support or knowledge of management, falsifies transactions to make the bank appear healthier than it is. Some U.S. states require banks to have blanket bonds. It is a type of blanket fidelity bond.
References in periodicals archive ?
The fact that the bankers blanket bond is now referred to as a financial institution bond does not represent the type of change we might have expected to occur.