XL Catlin’s Global Professional business has launched a suite of new financial institution bond insurance policies in the U.S., offering financial institutions balance sheet protection against employee dishonesty, burglary, robbery, forgery, and similar crimes.
XL Catlin’s new Financial Institution Bond protection includes, but is not limited to, protection against:
- Fidelity providing coverage for loss from dishonest or fraudulent acts committed by an employee acting alone or in collusion with others
- On premises loss which may result from robbery, burglary, misplacement or mysterious disappearance
- In Transit from robbery, burglary, misplacement or mysterious disappearance while in transit while in the custody of a messenger or transportation company
- Counterfeit Currency for loss resulting from the receipt of any counterfeit money
- Forgery or Alteration covering losses from forgery of a financial instrument specified in the policy, such as losses of money, securities or other tangible properties
- Securities to cover loss resulting directly from a financial institution having accepted these in good faith, and given value, extended credit or assumed liability in return
“Each year, fidelity and crime insurers incur more than $300 million in losses by protecting organizations from crime. The risk is real. Consider that according to the FBI, in 2014, nearly 4000 financial institutions, including commercial banks, credit unions and armored carrier companies were robbed. If stolen money is not recovered, it comes directly out of the financial institutions reserves, and that can be a hard hit to their balance sheet,” said Greg Bangs, chief underwriting officer of XL Catlin’s Global Crime insurance business.
Tailored financial institution bond coverage is available for stock brokers, investment bankers or managers; mortgage banks and finance companies; commercial bankers and savings banks; and insurance companies. A variety of endorsements are also available to address specific risks for individual financial institutions. XL Catlin’s new financial institution bond policies are available on a primary, excess and quota share basis with policy limits up to $25 million. Coverage is provided by XL Catlin insurance company, XL Insurance America.
The XL Catlin insurance companies offer property, casualty, professional, financial lines and specialty insurance products globally.
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