1. Forms
2. CR
3. CR-25-12

What the form is

The CR 25 12, titled "Include Treasurers Or Tax Collectors As Employees Endorsement," is an endorsement used with crime insurance policies. Its primary function is to amend the definition of an "employee" within the policy to specifically include treasurers or tax collectors who are listed in the endorsement's schedule. Standard crime policies often exclude public officials like treasurers or tax collectors from the definition of an employee, or have specific exclusions related to their acts. This endorsement overrides such limitations for the scheduled individuals. It typically also deletes the specific exclusion pertaining to treasurers and tax collectors (often cited as Exclusion D.2.d).

Classes of business it applies to

This endorsement is predominantly used for:

• Governmental Entities: Such as municipalities, counties, school districts, and other public bodies that employ or appoint treasurers or tax collectors to handle public funds. For example, a city government would use this endorsement to ensure its City Treasurer is covered for employee theft under its government crime policy.
• Other Public Entities: Any organization that might have individuals in treasurer or tax collector roles who are not automatically covered as employees under a standard crime policy.

Special considerations

• Scheduled Individuals: Coverage is typically specific to the treasurers or tax collectors named in the schedule of the endorsement. If a named individual leaves the position and is replaced, the endorsement must be updated to include the new person for coverage to apply to them.
• Deletion of Exclusion: A key feature of this endorsement is the deletion of the standard exclusion for treasurers or tax collectors, ensuring that their dishonest acts can be covered.
• Necessity: This endorsement is vital for public entities as treasurers and tax collectors often handle significant amounts of money, and their exclusion from coverage would represent a major gap in the entity's risk management.

Key information for agents and underwriters

• Agents: Agents should always inquire about the roles of treasurers and tax collectors when writing crime coverage for public entities. If these roles exist and are excluded by the base policy, the CR 25 12 endorsement should be recommended to fill this potential coverage gap. It's crucial to explain the need to update the schedule if the named individuals change.
• Underwriters: When this endorsement is requested, underwriters should assess the specific individuals being scheduled. This includes understanding the scope of their duties, the internal controls and oversight mechanisms in place for these positions (e.g., audit procedures, bonding requirements), and the limits of liability required. The deletion of a standard exclusion means the underwriter is taking on a risk that would otherwise be excluded, so careful evaluation of the individuals' responsibilities and the entity's financial controls is important.
• Coverage Scope: The endorsement extends coverage for "theft" or other dishonest acts as defined in the main policy, committed by the scheduled treasurers or tax collectors.