Author Question: One commercial crime policy condition is termination as to any employee. This condition terminates ... (Read 75 times)

BrownTown3 · **on:** Jul 11, 2018

One commercial crime policy condition is termination as to any employee. This condition terminates crime coverage

A) on any employee once he or she is no longer employed by the company.
B) on any employee once it is learned that he or she has committed a theft or dishonest act.
C) on any employee who does not wish to be covered under the policy.
D) on a selected category of employees (e.g. cashiers or clerical employees).

Question 2

Bishop Appliance Store is covered by a commercial crime insurance policy. The policy provides coverage for Employee Theft on a blanket basis.

When the store owner arrived to open the store for business one morning, he discovered that many small electrical appliances were missing. A surveillance tape showed a company employee had disabled the burglar alarm before leaving work, and had returned to the store later and had taken the appliances. Which of the following statements regarding this loss is true?
A) There is no coverage under Employee Theft as the loss was property, not money.
B) There is no coverage as the employee was not specifically named in the policy.
C) There is coverage because Employee Theft includes coverage for property.
D) There is no coverage as it requires that the employee be caught while committing the theft.