What does Securities Insuring Agreement mean? Read on to discover the definition & meaning of the term Securities Insuring Agreement - to help you better understand the language used in insurance policies.
Securities Insuring Agreement
A provision of the SAA Financial Institution Bond No. 24 that provides coverage to banks and other financial institutions for loss resulting from alteration or forgery of a signature on specified types of securities (such as those typically accepted as collateral for loans), from counterfeit securities of specified types, and from guaranteeing or witnessing signature of certain types of securities and financial documents. This coverage may be removed from the bond by rider.
More Insurance Terms And Definitions
The Merriam-Webster Dictionary defines insurance as:
b: Coverage by contract whereby one party undertakes to indemnify or guarantee another against loss by a specified contingency or peril.
c: The sum for which something is insured.
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