What does Significant Contact Test mean? Read on to discover the definition & meaning of the term Significant Contact Test - to help you better understand the language used in insurance policies.
Significant Contact Test
This test is applied when making jurisdictional decisions - which state benefits can the employee access. Significant contact tests base these jurisdictional decisions around the employee. Three primary tests/questions work to determine which states need to be scheduled as primary, 3.A. states. These questions are: 1) Where does the employee live? 2) Where does the employee primarily work? And 3) In what state was the contract of hire made? If a "preponderance of contact" evidences a state not listed as a 3.A. state, there may be a gap in protection.
We hope the you have a better understanding of the meaning of Significant Contact Test.