What does the "forgery" coverage under commercial crime insurance protect against?

Forgery coverage under commercial crime insurance specifically protects businesses from financial loss resulting from the forgery of various instruments. This type of coverage typically includes protection against fake checks, as well as checks that have had their amounts changed or altered without authorization.

For example, if a fraudulent individual creates a fake check or alters a legitimate check to increase the amount, this coverage would apply, allowing the business to recover the losses incurred due to this type of crime. The emphasis on the alteration and unauthorized forgery is crucial here, as it reflects the focus of this particular coverage—protecting against fraudulent activities that impact the authenticity of financial instruments.

While theft of physical checks, misrepresentation of information, and counterfeit coins deal with issues of fraud, they do not align as directly with the specific intent of forgery coverage within commercial crime insurance, which is centered around the forgery of checks and similar instruments.