How to List Additional Insured on Certificate of Insurance

Businesses often engage in partnerships and contractual agreements that create shared responsibilities and potential liabilities. Understanding how insurance coverage extends to other parties is important for proper protection. This includes verifying another party’s insurance and extending one’s own coverage when needed, which helps mitigate financial risks and support collaborations.

Understanding Additional Insureds and Certificates of Insurance

An “additional insured” is an individual or organization added to another party’s insurance policy, typically a liability policy, to receive protection from liability arising from the primary insured’s activities. This status is commonly required in contractual agreements to transfer risk. For instance, a landlord might require a tenant to list them as an additional insured on their general liability policy, protecting the landlord if a customer is injured due to the tenant’s negligence. Similarly, general contractors often require subcontractors to name them as additional insureds on their policies, providing protection for claims related to the subcontractor’s work.

Being an additional insured is distinct from a “named insured” or a “loss payee.” A named insured is the policyholder who owns the policy, pays premiums, and controls policy modifications. An additional insured does not own the policy, cannot modify it, and is not responsible for premium payments, receiving coverage only for specific risks arising from the named insured’s operations. A “loss payee” is an entity with a financial interest in insured property, such as a lender, who receives payment if the property is damaged.

A Certificate of Insurance (COI) is a document issued by an insurance company or broker that serves as proof of insurance coverage at a specific point in time. It summarizes key policy details, including the policyholder’s name, effective dates, types of coverage, and policy limits. A COI acts as a snapshot of coverage and is not the actual insurance policy itself. Businesses often require COIs from third parties, like contractors, to verify adequate insurance, which is crucial for managing risk and fulfilling contractual obligations.

Information Needed to Request an Additional Insured Endorsement

Before contacting an insurance provider to request an additional insured endorsement and a Certificate of Insurance (COI), gathering specific information is necessary. The full legal name of the entity or individual to be added as an additional insured is paramount, along with their complete address and any relevant contact information.

The specific insurance policy numbers to which the additional insured status needs to be added are also required. This typically applies to general liability policies, but could also include commercial auto or umbrella policies, depending on the nature of the relationship and the risks involved.

Providing a clear description of the relationship between the policyholder and the additional insured is helpful. This might include details such as “for a specific project at [address],” “as per lease agreement dated [date],” or “for event [name].” This helps the insurer understand the scope of coverage needed and tailor the endorsement to contractual requirements.

If the contract specifies particular coverage requirements, these must be explicitly communicated. Examples include specific limits of liability, “primary and non-contributory” language, or a “waiver of subrogation.” “Primary and non-contributory” ensures the policyholder’s insurance pays first without seeking contributions from other policies. A “waiver of subrogation” prevents the insurer from seeking reimbursement from the additional insured if they are at fault for a loss. These details are typically found within the contractual language that mandates the additional insured status.

Finally, the desired effective dates for the additional insured status and the COI must be provided. This ensures the coverage is in place for the required duration of the project or agreement. Having this information organized streamlines the request process with the insurance provider.

Requesting and Receiving the Document

Once all necessary information is gathered, contact the insurance provider or broker to request the Certificate of Insurance (COI) with the additional insured endorsement. Policyholders can typically submit these requests via phone, email, or an online portal. When making the request, clearly state the need for a COI that includes an additional insured endorsement, providing the additional insured’s full legal name, address, and specific policy number(s).

Upon submission, the typical turnaround time for receiving a COI can vary, but many providers process requests within 24 to 48 hours. The COI is generally delivered electronically via email, though physical copies can also be requested.

After receiving the document, a thorough review is crucial to ensure accuracy and compliance with contractual requirements. Confirm that the full legal name and address of the additional insured are precisely listed on the COI. Verify that the correct policy number(s) and the requested effective dates are accurately reflected. Also, check for any specific language mandated by the contract, such as “primary and non-contributory” or “waiver of subrogation,” ensuring these provisions are explicitly noted on the certificate or as an attached endorsement.

Confirm the COI is issued by a legitimate insurer and bears the signature of an authorized representative. Directly compare every detail on the received COI against the original contractual requirements. If any errors or omissions are found, immediately contact the insurance provider for correction.