Understanding Insurance: What is an Additional Insured?

/ BLOG

Understanding Insurance: What is an Additional Insured?

Feb 25, 2022 · 5 minutes to read

What is an additional insured

There’s a lot to learn when you run your own business, especially when it comes to insurance. You may be asked to add someone to your business insurance as an additional insured, particularly if you work with clients or partners. If you’re new to business, this might sound like an odd request.

Adding an additional insured on Professional Liability, General Liability, and other policies is a common event in the business world. It’s typically a straightforward process that can benefit both parties. Let’s take a closer look at additional insured and why you may need to add them to your business insurance policies.

Policyholders, Additional Insureds and Certificate Holders

To understand what an additional insured is, it often helps to also know other insurance terms that are closely related:

Who is the policyholder?

A policyholder is the person or business that owns an insurance policy. They are the person who purchased the policy and who benefit directly from it. You are the policyholder of any insurance policies that you have purchased to protect yourself or your business.

Who is an additional insured?

An additional insured is someone you add to your insurance policy. This can be an individual or a company. Additional insureds are named on your Certificate of Insurance (COI) after you have added them.

Who is a certificate holder?

A certificate holder is a person who you have given a certificate of insurance. Certificate holders request a COI as proof that you have business insurance and that your policies are currently active. An additional insured may ask for a COI as assurance that you have, in fact, added them to your business insurance policies.

Why would I add an additional insured to my policy?

Now that you understand what an additional insured is, you might be wondering why you’d need or want to add someone else to your business insurance policies.

Typically, an individual or business will ask to be added to your policy to provide them with extra liability protection. If they are sued due to your actions, the additional insured can go to your insurance policy to protect their business, rather than relying on their policy alone.

An additional insured may only be protected by your policy for a limited amount of time. For example, just until the project you are working on together ends. However, they can remain on your policy for as long as it is in force. This is more common if you are working with long-term partners or clients. Adding someone as an additional insured to your policy is often a contract requirement to work with certain businesses.

This process can also work the other way around. You can ask to be included as an additional insured on another individual or business’ policies to increase your liability protection.

Can I add an additional insured on a Professional policy?

Maybe. Adding an additional insured to your Professional Liability policy depends on whether your insurer allows it or not. Many do, but some may not. Your insurer may need to approve the additional insured on your Professional Liability policy before officially adding them.

This information should be included in the policy wording you received when you purchased your insurance. You can also speak with your insurer if you are unsure.

How can I add an additional insured to my policy?

Adding an additional insured on your Professional Liability or other insurance policies is often a simple process. Many insurers allow you to make these updates online as they are needed, adding as many businesses and individuals to your policies as you wish. You can even receive an updated COI immediately, so you can quickly provide this information to your additional insured or other certificate holders.

When comparing insurance policies, you might want to ask how long it takes for the insurer to provide you with a COI. For some insurers this is still a manual process that can take days or even weeks to complete. Depending on how you do business, this may be too long to wait. Being able to receive an updated COI immediately could be an important factor to consider when you choose a policy.

Insurance Designed for Your Small Business

BizInsure understands that small business owners are busy. That’s why we make finding insurance simple and quick, from start to finish. Compare and buy policies from top-rated insurers in minutes and receive your certificate of insurance instantly.

Ready to get started? In just 10 minutes you could be covered and ready to get back to business. Start getting quotes now.

*As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording. The information contained on this web page is general only and should not be relied upon as advice.

Get Free Online Quotes and get coverage instantly

The coverage you need for your business.

Business insurance is divided into different policies. We offer 4 types so it's easy to design the coverage that fits your business.

Professional Liability Insurance

Get a quote

General Liability Insurance

Get a quote

Business Owner’s Policy (BOP)

Get a quote

Workers Compensation Insurance

Get a quote

Let's find

The coverage you need for your business

Professional Liability Insurance

Get a quote

General Liability Insurance

Get a quote

Business Owner’s Policy (BOP)

Get a quote

Workers Compensation Insurance

Get a quote

bizinsurance makes purchasing Business Insurance...SIMPLE!
Andrea W.
1701380391
Great quality of Service ,faster and convenience way to pay at most. Thank you for your Service to my Healthcare Facility .
Quick and easy!!!!
Terry
1701319042
Great service! Easy process and very informative representative. Andrea was great and very patience with our process. I would recommend using them!!
Terrance R.
1700848536
Always and easy process. Thanks!
Gerald S.
1700244544
Renewal was quick and easy online
Angelita K.
1699752900
I had a great experience working with Andrea from BizInsure. She was extremely knowledgeable, helpful, and responsive throughout the entire process. She guided me through the different options available and helped me find the perfect home care professional liability insurance policy that suited my needs. Her professionalism and expertise made the entire experience smooth and hassle-free. I highly recommend working with Andrea and BizInsure for all your insurance needs.
Juliette S.
1699032636
Easy to submit an application and to get quotes
Simone S.
1698775217
I had the most pleasant prompt and professional experience of my life with Bizinsure. Everything was completed in record time, at an unbelievable cost…and my certificate of Insurance was promptly emailed to me. Most of all it was effective immediately. No hassle no back & forth, just great service highly recommend to all small businesses.
Marcia S.
1698407456
Excellent
advanced U.
1697824466
Great service. Very professional and cordial. Thanks
Jeremiah U.
1697064641
BizInure has been a great company for our insurance needs. I wish customers services was 24/7, that would make it a five stars
Novilette L. J.
1696828014
Easy to navigate what you need. Always notify ahead of renewal!
Athena T.
1696646371
This is the best company I have ever worked with. They are professional and get you exactly what you need. I highly recommend them!
Jim P.
1696451803
this is really easy
Riaz R.
1696428004
Andrea was very useful and professional. I will be recommending Biznsure to my friends that need business insurance. Keep up the good work. I wish the agency also offers auto insurance and whenever you do I will be one of the first to sign up as sign of my appreciation.Mike Okonkwo.
Mike O
1696282284
Kalab was excellent. Great, great Agent. Every step was organized and well planned. I WILL recommend your firm to anyone. Thank you...
Easy to renew Policy
Plain S.
1695644756
Great total experience. The agent was professional, knowledgeable,and a pleasure to work with. The fastest business insurance purchase I've ever experience. I highly recommend Bizinsure.
Tony W.
1695492357
Communication was excellent and the process was easy.
Jessie R.
1695153508
I have been using Bizinsure for several years and find the ease of renewing as well as generating additional insured certificates to be easy and useful, especially as a sole prop. thank you
Michelle C.
1695060008
Kaleb tailored the right coverage to our business. Customer service was good and gave great understanding of coverage. Thank you from Goleda's Gentle Homecare LLC
Aneesah M.
1695056651
A GOOD COMPANY FOR HEALTH CARE INC
Supreme A.
1694871640
Easiest & fastest online quote and purchasing experience out there. Inside of 10 minutes I had a quote, payment draft, and policy in force... and at the most competitive GL rates I found.
Rusty H.
1694699044
very quick and prompt service.
Sally Jo W.
1694180429
caleb was great in helping me navigate thecorrect liabilty insurance for my company
Lindsay Erin P.
1694135867
Friendly fast service I recommend you to all vendors
Terry R.
1694133043
Great
Kemi S.
1694119021
Great Customer service and easy renewal process!!!! I would refer this company to anyone.
Chris H.
1694038325
Great company easy to work with, Andrew was very helpful,you can call him any time he is ready to listen and help
Olu A.
1693959486
Good customer service indeed
BASSI T.
1693944217
js_loader
Google Rating
4.6
Based on 214 reviews
×
js_loader