Protect Your Maryland Business With A Fidelity Bond
Just imagine that an employee is at your customer’s home and steals the homeowner’s diamond tennis bracelet that was lying on the kitchen counter. The homeowner calls you to replace the bracelet for her. If you don’t replace it, it could result in the client speaking bad about your business, giving you negative reviews online and thus costing you business. If you do replace it then there is money going out of your pocket to cover the error of your employee. Either way, you, the business owner loses. And this is where a fidelity bond would come into play.
If you have a fidelity bond you would not have to pay that claim; the bonding company would pay that claim on your behalf. This bond saves your business of a loss of reputation, and saving your pocket book from having to pay and unnecessary claims.
Fidelity bonds are bonds such as Employee Dishonesty, Business Services bonds, Janitorial Services bonds, and ERISA bonds to name a few. Any business that has an employee has a need to have a fidelity bond.
Fidelity bonds can be purchased in as small amount of $5,000 to several hundred of thousand dollars. The minimum premium for a fidelity bond is $125.
A business in Severna Park had the same office manager/bookkeeper for the past 20 years. She had keys to the office, the ability to write checks, and handled the day to day issues of the business. Suddenly the amount in the bank accounts started decreasing and the owner questioned what is happening. The bookkeeper blamed the economy and sales being down as the cause. After months and months of crunching the numbers, the business owner discovered that the bookkeeper was using the business account to pay her personal expenses. When she was confronted, she quit and the business owner discovered that she does not have the money to repay the thousands she stole. A fidelity bond would have provided the method for the business owner to recoup the amount that he lost.
Fidelity bonds usually require that charges be brought against the employee or the employee has to be found guilty for the bond to reimburse.
To obtain more information or a quote for a fidelity or dishonesty bond then please call Huff Insurance at 410-647-1111 or fill out the quote form on this page. The professionals at Huff Insurance are here to help.
Don’t Let an Employee Steal Your Business!