What Does Position Schedule Bond Mean?
A position schedule bond is a bond purchased by an organization in case of loss to the company due to dishonest actions, such as theft or embezzlement, by an employee listed on the position schedule. A position schedule is a list of positions held by employees within a company. These bonds are a type of fidelity bond.
Insuranceopedia Explains Position Schedule Bond
The phrase “position schedule” is used because when these bonds are purchased, a list that contains the positions for which bonds are sought and the amount of bond requested accompanies the application. The positions themselves are what the bonds are purchased for, so the names of the people holding the positions are not included on the schedule. The bonds are considered worth buying when an employer hires “high-risk” employees (such as those convicted of a crime), or when a company or particular position has high turnover.