What it does
CR 25 01 amends the crime forms so that the persons or classes of persons shown in the schedule are not "employees". Losses they cause fall outside the fidelity insuring agreements.
Who needs it
Underwriters use it to carve out an owner-operator, a family member, a person with a known dishonesty history, or a class of workers they will not insure.
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
- If the excluded person handles ERISA plan money, the plan bond is not compliant; the DOL says an excluded owner who handles plan funds must be bonded separately or covered by an ERISA rider.
- Ask the underwriter why the exclusion is needed and whether it can be limited to specific insuring agreements.
