Which of the following is not considered a theft loss?
C)Mysterious disappearance
Mysterious disappearance is the loss of property when the cause of loss cannot be determined.
What is the taking of property from the care of a person by threatening bodily harm?
A)Robbery
Robbery is a theft using threat of violence.
For the purposes of crime policies, how long is a person an employee after employment is terminated, regardless of the reason for termination?
D)30 days
An employee is a person in the insured's service and compensated for that service for 30 days after termination.
Which of the following has the care and custody of the insured's property outside the premises?
A)Messenger
The messenger can be the insured or any of the insured's partners or employees.
Each of the following is true of a Discovery crime coverage form, except:
C)Covers a loss that was discovered within one year of the termination of the policy period
The Loss Sustained form provides coverage for a loss that both occurred and was discovered during the policy period or was discovered within one year of the termin
Commercial Crime policies are written for which of the following commercial enterprises?
A)Private
The Commercial Crime Coverage Forms (both Loss-Sustained and Discovery) are designed for private businesses. The insuring agreements of these policies and forms contain one limit of insurance for all types of employee theft
The Commercial Crime Coverage form offers how many types of insuring agreements?
D)8
This form has 8 insuring agreements, but the insured can choose one, several, all, or none.
The Inside the Premises: Theft of Money and Securities insuring agreement covers each of the following types of loss, except:
D)Accounting errors
Accounting errors are not covered. Vandalism losses, if not related to a theft, are also excluded. Resulting fire loss from vandalism, theft, burglary, or robbery is not covered by crime forms, since it is covered under the standard pr
Which of the following is covered under the Outside the Premises crime insuring agreement?
C)Money in the hands of a messenger
This endorsement insures money and securities taken from a messenger or armored car service caused by theft, disappearance, or destruction; and the other choices are specifically excluded.
What is required if the insured adds the Extortion endorsement to the Commercial Crime form and wants coverage for a kidnapping?
D)Contact a law enforcement agency
An exclusion will apply if the insured fails to report the extortionist's demands to an associate, local law enforcement, or the FBI before the loss occurs.
Which commercial crime policy will cover any occurrence that took place during policy period, even if it was not immediately discovered?
D)Loss-Sustained form
The Loss-Sustained Form provides coverage for losses that both take place and are discovered during the policy period, or that are discovered within one year of the termination of the policy period.
Which of the following terms best describes the crime of taking of property from inside the premises or a locked safe or vault by a person who commits forcible entry?
C)Burglary
Burglary involves trespassing and entering or exiting a locked premises. Robbery involves direct confrontation and the use of force. Shoplifting is not defined in a policy, but it is covered under theft, which is a general term for larceny.
Which of the following crime coverages is not one of the 8 insuring agreements provided by the standard Commercial Crime Coverage Form?
B)Extortion
Extortion coverage can be added by endorsement to the Commercial Crime coverage form.
The Employee Theft insuring agreement would cover:
A)A cashier taking money from the insured's cash register
This insuring agreement covers losses stemming from crimes perpetrated by employees, not from crimes perpetrated against employees. The Theft Disappearance or Destruction of Money and Securities in
A manager started receiving anonymous messages threatening damage to the company's facilities unless it changed its hiring practices. The manager chose not to report the threats to the insurer to minimize publicity and dealt the problem privately until th
D)The damage would be excluded because the insured did not report the extortionist's demands
The damage suffered by the company was generally covered under the extortion endorsement; however because the manager did not report the demands to anyone, the cl
ABC Credit Union has a Commercial Crime policy that includes Computer Fraud coverage. After an employee was tricked into making an unauthorized wire transfer on the basis of fraudulent, emailed instructions, why would the insurer deny the claim?
D)This loss is covered under Funds Transfer Fraud, not Computer Fraud
The crime was not in the use of a computer to make the transfer (which was made by wire), but rather in the instructions inducing an employee to make the transfer, making it a funds tra
Which crime coverage form does a bank need to cover the theft of money from a bank cash drawer by an employee?
D)Employee Theft or Dishonesty
The Employee Theft or Dishonesty form includes broad coverage, from theft of office supplies to taking money or property from the bank's safe.
Company D's cashier is robbed of $500 in currency. This loss would be covered under which insuring agreement?
B)Inside the premises: Theft of money and securities
Theft of money and securities coverage covers theft, disappearance, or destruction of money and securities inside the insured's premises, or inside a banking premises, when committed by a person present
While traveling by train, a marketing director for a watch manufacturer discovers that someone has stolen her briefcase while she was away from her seat. The briefcase contained sample watches valued at $2,000, marketing materials valued at $200, and misc
A)Zero
While the Outside the Premises insuring agreement covers money and securities against all kinds of theft, other kinds of property are covered only against robbery or attempted robbery. Since there was no confrontation with the person who stole the
A restaurant discovers that one of its suppliers has changed the amount payable on a check they issued. Under which Commercial Crime insuring agreement would this loss be covered?
C)Forgery or Alteration
All of the following are examples of theft, except:
C)Securities are found to be missing from a safe, though no signs of forcible entry are visible, and no one with access to the safe is suspected
Which of the following commercial crime insuring agreements provides coverage if a company accountant steals money by signing a businessowner's name on a $1,000 check?
B)Forgery or Alteration
In which capacity would a bank teller have the responsibility of taking bank securities to a sister bank every morning?
C)Messenger
Which of the following indicates the taking of property from the care and custody of a person by someone who has threatened bodily harm to that person?
A)Robbery
Robbery is defined as the felonious taking of personal property by means of force or fear.
What is the difference between the policy forms covering 'computer fraud' and 'fund transfer fraud'?
C)Computer fraud applies when a computer is used to illegally transfer money, and fund transfer fraud applies when a computer generates a fraudulent funds transfer order
Computer fraud coverage applies when a computer is the direct instrument used for a c