One of the coverages provided in a crime policy is protection against employee dishonesty. These losses can go undetected for extended periods of time because the dishonest employee is able to cover up their theft by virtue of the nature of their duties. Solid accounting principles recommend requiring an employee to take a vacation of at least 5 days in a row. This period of time provides a greater likelihood that the actions of a dishonest employee can be uncovered in a timely manner and this reduces your exposure to loss as well as the carrier’s exposure to loss.
Watch this video “Are there employee vacation requirements for crime applications?” for more details:
This is Question #19 of a 100 insurance video series that Ross & Yerger is producing to provide insurance consumers with quick, valuable answers to their everyday insurance questions.
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