Financial Institution Bonds

U.S. Risk Financial offers Financial Institution Bonds to protect you and your institution against a wide variety of crime loss exposures, along with additional endorsements to strengthen your coverage.

  • Fidelity (Agreement A) – Loss caused by dishonest or fraudulent acts of employees and outside data processors.
  • On Premises (Agreement B) – Loss of property through robbery, burglary, misplacement, mysterious unexplainable disappearance, theft, larceny or false pretenses while lodged or deposited within offices or premises located anywhere. Also covers resulting loss or damage to the premises and equipment at owned locations or at another location if held liable.
  • In Transit (Agreement C) – Loss of property through robbery, larceny, theft, misplacement, mysterious unexplainable disappearance while in transit, except while in the US Postal system.
  • Forgery or Alteration (Agreement D) – Referred to as “Check Forgery” or “Signature Forgery” coverage. Loss resulting directly from forgery or alteration of negotiable instruments.
  • Securities Forgery (Agreement E) – Referred to as “Lending Forgery” coverage. Loss caused by forged, altered, lost or stolen negotiable instrument and documents used as loan collateral such as stock, titles and deeds.
  • Counterfeit Currency (Agreement F) – Loss from accepting counterfeit or altered United States or Canadian currency or currency of any country in which you maintain a branch office.

Financial Institution Bonds can have the following endorsements added to expand your loss coverage:

  • Unauthorized Signatures – Loss resulting from acting on negotiable instruments or withdrawal orders that bear a genuine but unauthorized signature.
  • Counterfeit Checks – Loss resulting from accepting counterfeit checks or other negotiable instruments.
  • Computer Systems Fraud – Loss resulting directly from the fraudulent transfer of funds through the financial institutions computer system.
  • Automated Teller Machines (ATM) – Theft of the cash from an ATM located off premises.
  • Trading Loss (Buy Back) – Coverage eliminates the employee dishonesty exclusion due to trading the financial institution’s or customer’s funds.
  • Extortion (Kidnap and Ransom) – Covers ransom, medical reimbursement and additional expenses of covered persons.
  • Fraudulent Mortgages – Loss resulting from acting upon mortgages, deeds and like instruments where the signatures were obtained by trick, artifice or fraud.
  • Servicing Contractors – Adds servicing contractors as EMPLOYEES by definition.
  • Check Kiting Fraud – Loss resulting from the systematic, back and forth deposit of funds to create the appearance of valid, collected balances.
  • Stop Payment Legal Liability – Failure to comply with customer’s request to stop payment on a check or draft.
  • Transit Cash Letter – Reimbursement for expenses in reconstructing a lost cash letter.
  • Claims Expense – Expense incurred to determine the full amount of loss such as an embezzlement that had been ongoing over long period of time.
  • Safe Deposit – Loss of customer’s property from a safe deposit box as well as potential liability of the organization for such loss.

▶ Click the links in the sidebar for details on other U.S. Risk Financial programs.

Jim Lloyd
President, U.S. Risk Financial
(469) 983-7147 | Send a Secure Email

Tim Bennett | (440) 455-3881 | Send a Secure Email
Beth Boisseau-Coots | (469) 983-7115 | Send a Secure Email
Aaron Cardwell | (469) 983-7104 | Send a Secure Email
Pam Schultz | (469) 983-7223 | Send a Secure Email

news pic 12-12-22.jpg

How HOAs Can Minimize Risk

December 12, 2022 | HOAs must contend with numerous risks to their operations. Implementing a comprehensive risk management plan addressing potential losses and… more ▶

news pic 12-1-22.jpg

Who Needs Force-Placed Insurance?

December 1, 2022 | Financial institutions that fund home loans often maintain strict standards for borrowers. In addition to the initial criteria applicants must meet… more ▶

news pic 11-28-22.jpg

Risk Management for Holiday Gatherings

November 28, 2022 | Holiday gatherings are fun for employees to enjoy socialization off the clock. It’s an annual tradition, but it also comes with various risks… more