Endorsement
1. A legal term that refers to the signing of a document which allows for the legal transfer of a negotiable from one party to another.
2. An attachment to a document that amends or adds to it. Typically, it is an added provision to an insurance policy. Also referred to as a "rider". Investopedia Says:
1. When an employer signs a check, they are endorsing the transfer of money from the business accounts to the account of the employee.
2. If an insurance contract has a provision stating that in the event of the policy holder's death the family of the policy holder will continue to receive the policy holder's monthly income for a period of time, this is an example of an endorsement or a rider. Endorsements and riders cause the price of the premium to rise as they provide a positive benefit. Related Terms:
Dirty Stock
Instrument
Insurance
Negotiable
Rider
Voucher |