blanket bond

Blanket Bond

A bond or insurance policy covering a company in the event it loses money as the result of employee theft or fraud. It is important to note that blanket bonds generally only cover situations in which an employee commits fraud for personal gain; it does not cover situations in which the employee (without support or knowledge of management) falsifies trading so that it makes the company appear healthier that it is. The Federal Bonding Program, which is run through the Department of Labor, insures or guarantees the insurance of ex-offenders whose employment adds significant risk of theft or fraud. See also: Bonding, Operational risk.

blanket bond

References in periodicals archive ?
There is a special policy, known as Bankers' Blanket Bond, whose main objective is to identify fraud employees and covers situations.
2) An individual, schedule, or blanket bond, or combination thereof, is acceptable under ERISA Section 412, provided that the form of the bond, in its particular clauses and application, is not inconsistent with meeting (1) the substantive requirements of ERISA for the persons and plan involved, and (2) the specific requirements of the regulations.
Get a good lawyer with experience in tech issues to review your blanket bond and computer crime rider.
Twenty years ago, the insurance industry could offer products such as the bankers blanket bond, the stockbrokers blanket bond, the mortgage bankers blanket bond and others.
In the RTC-Moskowitz case (footnote 23), the RTC claimed losses under a bankers blanket bond resulting from alleged dishonest acts attributed to bank officers and employees.
MSI), was covered under a stockbrokers blanket bond issued by the Insurance Company of North America (INA).
Included in the acquisition is $55,000 worth ($500,000 initial value) of equipment, a CD used to secure the blanket bond valued at $28,000, a contract to sell oil to Ergon (http://www.
Star Financial Bank(23) the Seventh Circuit considered Insuring Agreement D of a depository institutions blanket bond, which covered losses resulting directly from forgery of a negotiable instrument.
Arkansas statute, pursuant to which broker posted securities dealer blanket bond, did not impliedly permit direct right of action by third parties.
First Bank(22) the surety sought a declaration that the acts of the insured's former president were not covered under a bankers blanket bond.
17) a stock brokerage firm sought indemnification under a stockholder blanket bond and stockholder partnership bonds for amounts it paid in settlement of certain underlying claims.
The Professional Liability Insurance Forum will address issues related to professional indemnity, bankers blanket bonds, political violence and medical malpractice, said the event organisers FinMark Communications.