Named Insured vs. Additional Insured vs. Additional Named Insured
Builders Risk Tips With Director of Producer Training and Development
Each month, US Assure Director of Producer Training and Development Mary Stiglic joins us in the studio to address a common question or pain point to help you confidently sell to and service your construction insurance clients.
Read the Video Transcript:
Today we’re celebrating Chocolate Chip Cookie Day.
And whether you love your gramma’s recipe, your mom’s or even the Double Tree Hotel’s recipe, I bet you have a hard time saying no to these babies ... especially hot out of the oven with a cold glass of milk.
I’d like to get to these while they’re still hot, so let’s talk about named insured vs. additional named insured versus additional insureds … wow, that’s a mouthful.
Named insureds and additional named insureds both have the right to make policy changes and file claims. Sometimes you’ll be required to add an additional named insured because of the character limitations in the application field.
Additional insureds are added to the policy when required by the construction agreement and they can’t alter the policy. We’ve seen a whole laundry list of additional insureds on some of the large commercial builders risk accounts.
Keep in mind, in the event of a claim, all of the named insureds, additional named insureds, additional insured and any lenders will be added to the claim check. And if there’s a laundry list, this could take some time to get everyone to sign off so the check can be cashed.
I hope this helps ensure you’re not adding additional insureds that aren’t mandated by a construction agreement. My cookies are getting cold so I’m gonna wrap this up now.
‘Til next time.
This is intended as a general description of certain types of insurance and services available to qualified customers. Any description of policy provisions is meant to give a broad overview of coverages and does not revise or amend a policy. Refer to the policy coverage form for a complete representation of the scope of coverage, terms, conditions, exclusions and more. The policy is the contract that specifically and fully describes your coverage. Some products may not be available in all states and may only be offered on a non-admitted basis. Product availability is subject to change.
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