Which type of bonds provides coverage for employees specifically listed on the policy schedule?

The correct answer is that name schedule bonds provide coverage for employees specifically listed on the policy schedule. This type of bond allows an employer to specify certain individuals, typically those in positions with significant fiduciary responsibility or potential for dishonesty, and extend protection against losses resulting from their dishonest acts. By naming these employees, the coverage becomes more tailored and directly applicable to the individuals who might pose a risk due to their roles in the organization.

Name schedule bonds are particularly beneficial for businesses where trust and integrity are paramount, allowing for greater specificity in coverage. Employers can effectively manage risk by ensuring that the individuals who have access to valuable company assets are bonded, thereby offering a measure of financial protection against potential losses that might arise from their actions.

Considering the other options, position schedule bonds cover specific positions rather than individual employees, providing less precision in terms of the persons covered. Commercial blanket bonds offer broader coverage for all employees but do not specifically list individuals, focusing instead on the collective coverage of all employees under a broader risk management strategy. Blanket position bonds are similar but generally refer to employee positions rather than specific individuals. Thus, name schedule bonds stand out as the ideal choice for this context.