Overview of Common Insurance Endorsements

By Becca Cole, Associate Account Executive

Some of the most frequent questions we get are about common policy endorsements. Beacon Hill Account Executives try to have our carriers include most common endorsements on our policies automatically, so frequently requested coverage is already included, but it’s important to check each policy individually. Here is an overview of some of the typical endorsements we see requested:

Additional Insured (AI) status is often requested by certificate holders and job owners. Additional Insured coverage on a “blanket” basis – with “where required by written contract” or similar wording – is automatically included on most policies for GL and CPL coverage.  Some carriers have language limiting these endorsements to owners, lessees, or contractors, but many carriers have broad endorsements that apply to many circumstances. It’s important to understand the relationship between the requested Additional Insured and the Named Insured on the policy in order to know whether the blanket endorsement would meet the coverage requirement. Many other types of Additional Insured endorsements are available to meet specific contract requirements, but must be reviewed and approved by the carrier. If a designated endorsement is required, either because of the relationship or because the certificate holder will not accept the blanket coverage, many carriers charge a nominal additional premium to endorse. Our Excess policies are follow-form unless a specific exclusion is included, so they typically don’t need to be endorsed for Additional Insureds.

Waiver of Subrogation (WOS) is another common requirement that we include on most policies automatically with blanket wording. The blanket coverage provided meets most contract requirements; most carriers charge a nominal additional premium to endorse for Waiver of Subrogation designated entities. Again, our Excess policies generally follow-form this coverage.

Primary & Non-Contributory (PNC) wording is frequently requested for Additional Insureds as well.  This coverage is automatically included on most policies, either built into the Additional Insured endorsement wording or as a separate endorsement.

Direct Notice of Cancellation (DNOC) is a requirement that we see for certificate holders almost daily.  Several of our carriers can endorse “blanket” DNOC onto policies–depending on the carrier, this can mean either that the agent keeps a list, that the carrier keeps a list, or that the carrier endorses each entity as needed but only charges one time. Other carriers are not able to provide “blanket” DNOC, but must endorse the policy every time. These carriers typically charge for each endorsement. Excess policies are follow-form and typically do not require additional premium. Depending on the carrier, DNOC may not be available for Workers Compensation policies since notice provisions are typically designated on a state by state basis.

Designated Project Aggregate endorsements are sometimes required for contracts. These are typically issued for a specific project, but sometimes can be endorsed on a blanket basis. Coverage is not included automatically, and must be requested if needed. For specific project coverage, the carrier will need to know the operations and revenue for the job in order to quote.

Most of our carriers use their own proprietary coverage forms rather than ISO forms. Generally, ISO endorsements are only used on policies where the General Liability coverage is written on the ISO CG 0001, but many of our carriers can add ISO endorsements if specifically required by contract. For the common endorsements discussed here, our carriers’ proprietary forms are typically equivalent to or broader than the ISO forms.

If you have questions about any specific endorsements required by contract, you should always feel free to ask. We are happy to check the policy and let you know if coverage is included, or to ask the underwriter whether coverage is available if it isn’t already included. Our carriers’ flexibility enables us to work with you and your insureds to try to resolve any requirements that may come up, whether common or uncommon.

Contact us today for more information on endorsements or to reach our service department.