Commercial Lines

How is an 'additional insured' added to a commercial liability policy, as opposed to a named insured?

Answer

By an endorsement that names the party as an additional insured

TDI: 'You should check the Additional Insured box if the policy includes an endorsement that names the certificate holder as an additional insured.' A certificate of insurance alone does not create additional insured status — the endorsement does.

Source: TDI, Certificates of insurance FAQ; Tex. Ins. Code ch. 1811

Not the answer

  • Automatically, whenever a contract requires it
  • By listing the party on a certificate of insurance
  • By the party paying part of the premium

Practice this

The Texas All-Lines Adjuster exam is 150 questions and takes 105 correct — 70% — to pass. The app’s page carries a free ten-question test drawn from the same bank, marked as you go.

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