Employee Dishonesty Bonds

At Surety Bonds Agent, we offer a full range of surety bonds nationwide through an extended carrier network. Learn about Employee Dishonesty bonds below, and request a quote today. 

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FREE EMPLOYEE DISHONESTY BOND QUOTE

What Are Employee Dishonesty Bonds?

Every business owner needs to be concerned about the possibility of their employees committing dishonest acts that may harm the business financially. An employee dishonesty bond is a type of fidelity bond that protects business owners against the financial consequences of an employee forging checks, stealing cash or goods, embezzling from the business, committing fraud or any other financial crime against their employer. 

An employee dishonesty bond does not protect against financial loss from dishonest acts committed by employees while working on a customer’s premises. For that you would need a business services bond, such as a janitorial bond that the owner of a cleaning business might purchase.

While employee dishonesty bonds provide important financial protection for business owners, they are not the typical surety bond. In fact, they function more like insurance. Typically, a surety bond provides protection for the party requiring the bond, referred to as the “obligee.” In the case of employee dishonesty bonds, however, there is no obligee, as business owners purchase them voluntarily for their own protection. 

Who Needs Them?

Any business owner who has employees can benefit from purchasing an employee dishonesty bond. Employee dishonesty is, unfortunately, rather common. If you think you may need one, you probably do.

How Do They Work?

As with an insurance policy, you’ll need to file a claim in order to be compensated for a covered financial loss. The surety bond company that issued your employee dishonesty bond will conduct an investigation to ensure that your claim is valid and should be paid. Be aware that some employee dishonesty bonds will only pay a claim if the dishonest employee has been convicted of the crime.

If your claim is approved, you’ll receive payment directly from the company that issued the bond. Whether or not that payment is for the full amount of your loss depends on how much coverage you purchased and the size of the claim. 

What Do They Cost?

Employee dishonesty bonds go through an underwriting process that will determine the premium you’ll have to pay for your bond. The primary factors the surety bond company will take into consideration are the amount of coverage requested, the controls you have in place to prevent employee dishonesty, and the number of employees to be covered. 

Some business owners will opt for blanket coverage for all employees while others will choose to purchase coverage only for certain individuals—typically those who handle cash or checks, have access to business financial records, or work without direct supervision.

The premium for an employee dishonesty bond is very low, often only two or three hundred dollars for up to $100,000 of protection.

At Surety Bonds Agent, we offer a full range of surety bonds nationwide through an extended carrier network. Learn about Employee Dishonesty bonds below, and request a quote today. 

CONTACT US FOR A

FREE EMPLOYEE DISHONESTY BOND QUOTE

What Are Employee Dishonesty Bonds?

Every business owner needs to be concerned about the possibility of their employees committing dishonest acts that may harm the business financially. An employee dishonesty bond is a type of fidelity bond that protects business owners against the financial consequences of an employee forging checks, stealing cash or goods, embezzling from the business, committing fraud or any other financial crime against their employer. 

An employee dishonesty bond does not protect against financial loss from dishonest acts committed by employees while working on a customer’s premises. For that you would need a business services bond, such as a janitorial bond that the owner of a cleaning business might purchase.

While employee dishonesty bonds provide important financial protection for business owners, they are not the typical surety bond. In fact, they function more like insurance. Typically, a surety bond provides protection for the party requiring the bond, referred to as the “obligee.” In the case of employee dishonesty bonds, however, there is no obligee, as business owners purchase them voluntarily for their own protection. 

Any business owner who has employees can benefit from purchasing an employee dishonesty bond. Employee dishonesty is, unfortunately, rather common. If you think you may need one, you probably do.

As with an insurance policy, you’ll need to file a claim in order to be compensated for a covered financial loss. The surety bond company that issued your employee dishonesty bond will conduct an investigation to ensure that your claim is valid and should be paid. Be aware that some employee dishonesty bonds will only pay a claim if the dishonest employee has been convicted of the crime.

If your claim is approved, you’ll receive payment directly from the company that issued the bond. Whether or not that payment is for the full amount of your loss depends on how much coverage you purchased and the size of the claim. 

Employee dishonesty bonds go through an underwriting process that will determine the premium you’ll have to pay for your bond. The primary factors the surety bond company will take into consideration are the amount of coverage requested, the controls you have in place to prevent employee dishonesty, and the number of employees to be covered. 

Some business owners will opt for blanket coverage for all employees while others will choose to purchase coverage only for certain individuals—typically those who handle cash or checks, have access to business financial records, or work without direct supervision.

The premium for an employee dishonesty bond is very low, often only two or three hundred dollars for up to $100,000 of protection.

REQUEST A QUOTE

Request a quote online or call today to speak with one of our surety bond agents about getting you a good rate on an employee dishonesty bond in your state.