Additional Insured Endorsements: Project-Specific vs. Blanket Basis

Additional Insured Endorsements: Project-Specific vs. Blanket Basis

What is an Additional Insured Endorsement? First, to understand what an Additional Insured Endorsement is, we must look at what it means to be Additional Insured. Being an Additional Insured refers to anyone, aside from the policy holder, who is covered by an insurance policy. Additional Insured status can be given to both individuals as well as groups, but their coverage is more limited than the policy holder’s.

Additional Insured Endorsements are insurance policy addendums that include or exclude coverage for certain parties, dates, locations, etc. Endorsements extend coverage to a party or group outlined by the policy holder, if a claim or negligent act were to arise. Additional Insured Endorsements typically offer crucial protection such as defense coverage, as well as coverage for certain third-party lawsuits (ex. bodily injury, property damage, etc.) depending on the policy.

Project-Specific vs. Blanket Basis
Additional Insured Endorsements can be provided on a Project-Specific or Blanket basis depending on the needs of the policy holder. Project-Specific Endorsements often will include the Additional Insured’s:

  • business name
  • project-specific information (ex. project name and/or project address)
  • duration of coverage for the Additional Insured
Additional Insured Endorsements provided on a Blanket basis are similar in the fact of extending coverage, but they do not require any specific individual(s) to be named as an Additional Insured. Rather, Blanket Endorsements outline a person or group of individuals given Additional Insured status and included in the policy holder's coverage. For example, a Blanket Additional Insured Endorsement for a commercial auto insurance policy would provide coverage for any driver of the company’s vehicle.

Blanket Additional Insured Endorsements
General Contractors tend to work with multiple trades at once, which can lead to costly liabilities if incorrect documents are provided. When enrolling in a Wrap Program, providing the General Contractor or Owner with a Blanket Additional Insured Endorsement guarantees each trade contractor meets the proper insurance requirements outlined in their contract, and is an affordable way to expand jobsite coverage.

Blanket Additional Insured Endorsements provides peace of mind making sure that each trade contractor has adequate insurance coverage before stepping foot onsite. 

If you have questions about what type of Additional Insured Endorsements you need to contractually provide on your Wrap-Up, reach out to your Wrap Administrator directly! Are you looking to implement a Wrap Program and looking for program placement and/or Wrap Administration information? Contact TSIB today! 

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