Employee Dishonesty

Coverage applies for loss of, and loss from damage to, "money", "securities", and "property other than money and securities". Loss must be caused directly by employee dishonesty. Because of the difference in the nature of coverage provided by the two versions "blanket versus schedule". the meaning of "employee dishonesty" differs.

In the "blanket" version, "only dishonest acts committed by an employee, whether identified or not, acting alone or in collusion with other persons, except [the named insured] or a partner." In contrast, the scheduled version requires that the dishonest act must be committed by an identified employee. In both cases, the act must be committed with the intent to cause the insured to sustain a loss and obtain financial benefit for the employee or a person or organization intended by the employee.