Who Needs Stop Gap Protection?


It can be tricky to decide what companies need stop gap insurance coverage. Much of this depends on where the company is located, although it is geared toward agencies who have temporary employees.

Locations Where Stop Gap is Necessary

Stop gap coverage is necessary for the following states: North Dakota, Ohio, Washington and Wyoming. Staffing agencies should carry a stop gap policy in order to protect both the people they employ and themselves, should an issue arise while the individual is on assignment. If something happens and there is no coverage, the individual could sue, leaving the agency out thousands of dollars.

Why Stop Gap Protection is Needed

Having stop gap insurance coverage is necessary in case an assignment doesn’t provide the safe working conditions an employee expects or is entitled to. Because the agency cannot always check on every assignment all of the time, this helps them stay protected should the employee sue, It can also cover employees if they suffer a bodily injury or come into contact with a disease from their workplace assigned by the agency.

Having stop gap insurance coverage is important in four states since they are considered monopolistic. This protection should be there in the event the agency gets sued or an employee gets injured.