What is a stop gap insurance?
The term stop gap coverage, or a stop gap endorsement, refers to an employer filling a gap in workers’ compensation insurance by purchasing an additional policy. Stop gap coverage protects business owners from lawsuits filed over workplace injuries.
Why do I need stop gap coverage?
Stop Gap Coverage, also called a Stop Gap Endorsement, protects employers from litigation by employees who fall ill or are injured on the job. In most states, this coverage is provided through employers liability insurance, which comes as part of a workers’ compensation policy.
What does stop gap meaning?
English Language Learners Definition of stopgap : someone or something that is intended to be used for a short time and then replaced by someone or something better : a temporary substitute.
What does stop gap insurance mean?
Stop gap insurance means many things to different people. Some individuals think it means gap coverage to supplement Medicare. Stop gap insurance, however, is coverage required by businesses to cover additional liability that arises from injury.
How to stop gap insurance coverage?
Review the terms and conditions of your policy to determine if the cost of gap insurance is included in your car’s financing. Know the mileage of your vehicle, and ensure it is verified, in order to get a refund. Contact the lender to request the documentation needed to request a gap insurance refund for the unused portion of your coverage.
What is stop gap policy?
Stop gap coverage can be added as an endorsement to either a general liability policy or a workers compensation policy, depending on the situation of the insured and the underwriting guidelines of the insurer. An example of an endorsement to a general liability policy was reviewed previously.
What is a stop gap coverage?
Stop gap coverage is an endorsement that protects business owners from lawsuits filed over workplace injuries. Most small business owners already have this protection as part of their workers’ compensation coverage, but there are exceptions.