What it does
Under the discovery forms, loss sustained before cancellation is covered if a designated person discovers it within 60 days after the policy ends (one year for an ERISA plan), unless replacement insurance starts sooner. CR 20 04 replaces that period with the number of days shown in its schedule.
Who needs it
Insureds closing, selling or merging the business, or dropping crime coverage, who want more time to find employee theft that occurred while insured.
How it fits the policy
This endorsement changes the base crime or fidelity form it is attached to and is listed with the other endorsements on the declarations. Schedules in the endorsement (names, positions, amounts or dates) control how it applies, so confirm the schedule is complete before binding. ISO's forms index lists the current edition for 52 jurisdictions.
Quoting and selling notes
- Use at the end of a discovery-form program, for example on sale of the business.
- The extended period still ends when other insurance replaces the coverage.
