| As a small business owner, you are probably very | | | | insurance policy. |
| concerned about crime by employees and its fallout | | | | Employee Dishonesty Coverage Basics: |
| on your business. To take care of any losses arising | | | | Employee dishonesty coverage is meant to cover |
| out of crime by employees, insurance companies | | | | your business against any crime by employees. Some |
| offer employee dishonesty coverage. This insurance | | | | of the basic facts about employee dishonesty |
| covers loss of money, bonds or property. | | | | coverage are discussed below. |
| What the Employee Dishonesty Coverage Covers: | | | | 1) Employee dishonesty coverage offers blanket |
| Employee dishonesty coverage is meant to cover | | | | coverage for your business against theft by |
| your business against criminal acts of any kind by | | | | employees. All employees are covered under this |
| your employees. It could be theft with a view to | | | | policy. |
| financial gain, or willful damage to your property out | | | | 2) The insurance limit is calculated on the basis of |
| of any motive. | | | | occurrence. If more than one employee is involved in |
| 1) Theft: | | | | a single instance of theft, the payout will be for a |
| When employees steal money, equipment, property | | | | single occurrence. |
| of any kind, or securities like passwords, bonds etc., | | | | 3) The Knowledge and discovery period of the crime |
| you can suffer huge financial losses. Employee | | | | covers the time elapsed between the theft and its |
| dishonesty coverage safeguards you from such loss. | | | | discovery by a senior official. |
| 2) Damage to Property: | | | | 4) The loss limit of liability is a one-time payment with |
| Willful damage to property by an employee out of | | | | no yearly aggregate. |
| rage, revenge, or any other motive can also cripple | | | | Employee theft is a real threat to businesses. What's |
| your business. Employee Dishonesty Coverage | | | | more, most insurance policies do not cover this kind |
| covers this kind of damage. | | | | of damage to business or property. Therefore, it is a |
| Drawbacks of Employee Dishonesty Coverage: | | | | good idea to opt for Employee Dishonesty Coverage. |
| One of the main drawbacks of the Employee | | | | If you have any queries regarding the insurance |
| Dishonesty Coverage is that the burden of proof lies | | | | coverage you should opt for, you can approach a |
| on the owner. Insurance companies pay for losses | | | | small business consultant or insurance agent to help |
| only if it has been conclusively proved that the loss | | | | you choose the right Employee Dishonesty Coverage |
| was due to theft by employees. Employee | | | | for you. After all, you never know when a |
| dishonesty coverage does not cover. | | | | disgruntled employee may damage your property, or |
| 1) Unexplained disappearance of Property | | | | embezzle fund from your account. Better to be safe |
| 2) Loss of employees' property. | | | | than feeling sorry. |
| 3) Damage that has been covered by another | | | | |