Fidelity Bond

# 1 Provider of California Fidelity Bond Business Protection

What is A California Fidelity Bond?

A California fidelity bond is a form of insurance protection that covers policyholders for losses that they incur as a result of fraudulent acts by specified individuals. It usually insures a business for losses caused by the dishonest acts of its employees.

While called bonds, these obligations to protect an employer from employee-dishonesty losses are really insurance policies. These insurance policies protect from losses of company monies, securities, and other property from employees who have a manifest intent to i) cause the company to sustain a loss and ii) obtain an improper financial benefit, either for themselves or another party. There are also many other coverage extensions available through the purchase of additional insuring agreements. These are common to most crime insurance policies (burglary, fire, general theft, computer theft, disappearance, fraud, forgery, etc.) and are designed to further protect specific company assets.

Types of California Fidelity Bonds

California Business Fraud Fidelity Bond

There are three types of fidelity bonds that your business could potentially need:
  • Employee Dishonesty Bonds – This type of bond will protect you from fraudulent activities through which employees attempt to steal securities, money, or property from you. …
  • Business Services Bonds – A Business Service Bond is a type of surety bond that protects your customers from acts of theft, larceny or fraud committed by you or your employees.
  • ERISA Bonds – An ERISA fidelity bond is a type of insurance that protects the plan against losses caused by acts of fraud or dishonesty. … The fidelity bond required under ERISA specifically insures a plan against losses due to fraud or dishonesty (e.g., theft) by persons who handle plan funds or property.

How Does A California Fidelity Bond Work?

How does a California Fidelity Bond Work?A fidelity bond covers your business for the types of fraudulent employee actions that are detailed in the terms of the bond, such as employee dishonesty. The fidelity bond should clearly spell out how much reimbursement would be provided after such fraudulent behavior occurs and the company makes a claim against the bond.

With fidelity bonds, you can cover specific employees or job positions with a schedule fidelity bond. The other option is to cover all employees with a blanket bond. A blanket bond offers the same amount of coverage for all employees. Schedule bonds provide specific coverage for each job position or individual employee listed in the policy.

When filing a fidelity bond claim, follow the rules set by the company that sold you the bond. As a general rule, you will likely be asked to explain what happened and why you’re filing a claim. You likely will be asked to furnish important documentation that supports the claim, such as a police report.

A claims adjustor likely will be assigned to the case and will ask you for any additional information that is required.

How to Get a Fidelity Bond FAST!

Applying for a Fidelity bond is rather simple. Just apply through our easy online form and submit your bond application. We will contact you soon after with a quote on your bond. For bonds with higher amounts, you may be asked to submit additional documentation which may take slightly longer.

Apply For Surety Bond Button