Question

Burglary and theft insurance covers all losses except .............

Hint:

Employee theft = Covered by Fidelity Guarantee, not by burglary insurance.

Answer 1

Burglary and theft insurance protects the insured against loss or damage due to theft involving forcible and violent entry or exit.
However, it specifically excludes certain risks to prevent misuse and fraud.
One common exclusion is loss or damage caused by employees or people lawfully on the premises.
Such losses fall under Fidelity Guarantee Insurance, which covers dishonest acts by employees.
Burglary insurance focuses on external threats like break-ins, not internal dishonesty.
Therefore, burglary and theft insurance covers all losses except loss caused by employees.