Question

Grant works at ABC Convenience. One day, a man pulls up in an expensive car and pays cash for his gas with a hundred dollar bill. Grant accepts the bill without checking its validity. When Grant's manager checks the bill later, he discovers it is a fake. Which commercial crime coverage could protect ABC Convenience from financial loss associated with accepting the fake hundred dollar bill?

Option 1: Forgery or Alteration Coverage
Option 2: Robbery Coverage
Option 3: Employee Theft Coverage
Option 4: Computer and Funds Transfer Fraud Coverage

Answer 1

Forgery or Alteration Coverage is the commercial crime coverage that would protect ABC Convenience from losses incurred due to accepting a counterfeit hundred-dollar bill.

Step-by-step explanation:

The commercial crime coverage that could protect ABC Convenience from financial loss associated with accepting the fake hundred-dollar bill is Forgery or Alteration Coverage. This coverage protects businesses against loss resulting from the acceptance of forged or altered monetary instruments like checks, bank drafts, or, in this case, counterfeit money. Since the bill accepted by Grant turned out to be fake, having this type of insurance coverage would safeguard the company's financial interests against such losses.