The policy which safeguards the employer from loss sustained as a result of fraudulent acts of his workers is the?
Answer Details
The policy that protects an employer from financial losses caused by fraudulent acts committed by their employees is called a fidelity guarantee policy. This policy provides coverage for losses incurred due to employee theft, embezzlement, or other fraudulent activities.
In simpler terms, if an employee steals or commits fraud against the company, the fidelity guarantee policy will provide financial protection to the employer by reimbursing them for the losses incurred. This policy is important for businesses that deal with sensitive information, financial transactions, or valuable assets to ensure that they are protected from any potential losses caused by their employees' fraudulent acts.