It covers all persons employed at the time the policy is issued as well as all new employees without notice to the surety. The district is completely safeguarded up to the limits of the policy against a loss caused by any employee. Fidelity insurance provides a uniform amount of coverage on each employee separately. If a loss is caused by fraudulent acts of two or more employees acting in collusion, only a single recovery up to the policy limit may be made. Specific excess indemnity may be carried on certain responsible individuals.
Many larger districts carry increased coverage on certain employees who handle money or securities.
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