FIDELITY BOND

Fidelity Bonds provide coverage to bondholders, in the event that losses are incurred as a result of harmful acts undertaken by specific individuals or the fraudulent acts of employees. The guarantee provided by Fidelity Bonds does not carry a deductible, and becomes effective on the first day that the high-risk individual is employed by the company. Fidelity Bonds typically expire after six months, but employers are able to purchase additional coverage at expiration. They are a vehicle for employers to hire, otherwise, unemployable individuals.