Which statement about eligibility for ISO Commercial Crime Program is true for entities seeking financial institution bonds?

Which statement about eligibility for ISO Commercial Crime Program is true for entities seeking financial institution bonds?

• A. They are not eligible for the ISO Commercial Crime Program.
• B. Not eligible for the ISO Commercial Crime Program.
• C. They are not eligible for any crime coverage.
• D. Eligibility is determined by state regulators.

Answer: (B)

Financial institutions aren’t covered under the ISO Commercial Crime Program; they use a specialized form called the Financial Institution Bond. The program is intended for nonfinancial entities, so the statement that applies is that these entities are not eligible for the ISO Commercial Crime Program. They can still obtain crime coverage, just not through that program—the appropriate coverage is the Financial Institution Bond. Eligibility isn’t decided by state regulators; it’s determined by the insurer’s underwriting and the product’s guidelines.

Financial institutions aren’t covered under the ISO Commercial Crime Program; they use a specialized form called the Financial Institution Bond. The program is intended for nonfinancial entities, so the statement that applies is that these entities are not eligible for the ISO Commercial Crime Program. They can still obtain crime coverage, just not through that program—the appropriate coverage is the Financial Institution Bond. Eligibility isn’t decided by state regulators; it’s determined by the insurer’s underwriting and the product’s guidelines.