Fidelity Bond(redirected from Blanket fidelity bond)
Also found in: Dictionary, Financial.
Related to Blanket fidelity bond: surety bond
An insurance device in the form of a personal guaranty that protects against loss resulting from disreputable or disloyal employees or other individuals who possess positions of confidence.
A bank might, for example, insure itself against losses deliberately or negligently caused by their officers and staff through the execution of a fidelity bond. If such losses occur, the amount of the bond is forfeited to reimburse the losses.