If the name insured has work on the policy effective date in any state NOT identified in 3.A, what coverage condition applies?

• A. Coverage is automatic
• B. No coverage will be afforded unless the insurer is notified within 30 days from the effective date
• C. Coverage is extended for 60 days
• D. Coverage applies only after endorsement WC 00 01 06 A

Answer: (B)

Coverage in a workers’ compensation policy is limited to the states listed in the policy’s territory. If, on the effective date, the named insured will be performing work in any state not identified, that out-of-territory work isn’t covered by default. The policy requires the insurer to be notified within a set window (typically 30 days) so the insurer can either extend coverage to that state via the appropriate endorsement or adjust the policy accordingly. If that notice isn’t provided within the 30-day period, no coverage will be afforded for work in the unlisted state.