AFSB study guide
AFSB · Work through your exam, one topic at a time.
The Associate in Fidelity and Surety Bonding (AFSB) is an associate-level professional designation in the surety and crime-insurance field. The Institutes Knowledge Group lists it among its claims and underwriting designations, and its navigation menu links the AFSB to a dedicated designation page. The credential is built around the two halves of its name: fidelity bonds, which protect an employer or other obligee against dishonest acts such as employee theft and forgery, together with the commercial crime coverages that insure similar exposures; and surety bonds, which guarantee a principal's performance to an obligee. Surety study typically divides into contract bonding, covering bid, performance, payment, and maintenance bonds on construction and public works projects, and commercial or non-contract bonding, covering license and permit, court, fiduciary, notary, and miscellaneous bonds. The AFSB study guide has 3 sections and about 1,120 words.
01Fidelity Bonds and Commercial Crime Coverages
Fidelity bonds and commercial crime policies respond to dishonest or fraudulent acts, but they are not interchangeable. A true fidelity bond indemnifies the insured for employee dishonesty-theft or forgery by an employee acting with manifest intent to cause the insured a loss and obtain a benefit.
415 words, about 2 min02Contract Surety Bonding
A contract surety bond is a three-party instrument: the surety guarantees the principal's performance to the obligee. It is not insurance; the surety expects reimbursement from the principal under a general indemnity agreement and is subrogated to the obligee's rights.
359 words, about 2 min03Commercial (Non-Contract) Surety Bonding
Commercial, or non-contract, surety bonds guarantee a legal, regulatory, or fiduciary obligation rather than construction performance. Common categories include license and permit bonds (contractor licensing, auto dealers, mortgage brokers, tobacco, alcohol); court bonds, split into judicial bonds (appeal, attachment, injunction, replevin) and fiduciary bonds (administrator, executor, guardian, trustee); public official bonds; and miscellaneous bonds (supply, lease, utility, customs, freight, subdivision).
346 words, about 2 min