Which insurance agreement guarantees repayment for financial losses resulting from the act or failure to act of an employee?

The correct choice highlights the purpose of bonding insurance, which is to guarantee repayment for financial losses that result from an employee's actions or inactions. Bonds are essentially a form of protection that a business can secure to cover potential losses caused by employee misconduct or failure to meet obligations. This can include scenarios such as theft, fraud, or failure to complete a contract.

In contrast, liability insurance primarily protects businesses from claims arising from injuries or damages caused to third parties due to the business's operations. Workers' compensation focuses on providing benefits to employees who are injured or become ill as a direct result of their job, rather than covering losses from their actions. Property insurance insures against damage or loss of physical assets and does not cover losses due to employee actions. Thus, bonding insurance is specifically tailored to mitigate risks associated with employee behavior, which is why it is the correct answer in this context.