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What does additional endorsement mean?

Basic Concepts. An additional insured is a party that does not qualify as an insured under the standard GL . They must be added by an endorsement that changes the who is an insured section of the policy. Additional insured endorsements limit coverage to a specific relationship or set of circumstances.

What is an example of endorsement?

A person or group at risk of being sued due to a connection to the primary insureds business or operations should be added as an additional insured. Examples include a landlord added to a tenants coverage or a contractor added to a subcontractors coverage, among others.

What is an insurance endorsement?

A signature is an endorsement. For example, when an employer issues a payroll check, it authorizes or endorses the transfer of money from the business account to the employee. The act of signing the check is considered an endorsement, which serves as proof of the payers intent to transfer funds to the payee.

What is an additional insured endorsement for a lender?

Explanation: This endorsement, while available for a Loan Policy, is designed for issuance with an Owners Policy. It contemplates acquisition of an interest in the insured under the policy (i.e., the record owner) and adds an Additional Insured (the new investor in that record owner) by the endorsement.

What are examples of additional insured endorsements?

Under the endorsement method, the employer owns the policy and an agreement spells out the employees rights, typically including the right to name a beneficiary for the employees share of the death proceeds. At the employees death, the life insurance proceeds are split between the parties.

endorsement form template

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