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Additional insured & endorsements, explained

Your GC's contract says they must be "additional insured" on your policy — and attached a blank certificate form. Here's what they're really asking for, what it does and doesn't do, and what it costs you.

What "additional insured" actually means

Your insurance policy covers you — the named insured. An additional insured endorsement extends some of that coverage to another party, usually your client or the general contractor, for liability arising out of your work for them. If someone sues them over an incident tied to your job, your policy can respond on their behalf.

Why do they ask? Risk transfer again. The GC wants your policy standing in front of theirs if something connected to your work goes wrong.

What it is — and what it isn't

Certificate holder vs. additional insured

This trips people up constantly. A certificate holder is just the party that receives a copy of your COI — proof of coverage, nothing more. An additional insured actually gets coverage extended to them. Being listed as a certificate holder gives someone no rights under your policy; that's why contracts demand the endorsement, not just the certificate. A COI with the wrong box checked is how jobs stall.

Waiver of subrogation, the companion request

Often paired with additional insured in contracts: your carrier agrees not to sue the client to recover a claim it paid you. Like additional insured, it requires an endorsement — it doesn't exist just because a contract says so. Also like additional insured, it usually costs a modest additional premium. Both are routine, and both require your agent to actually touch the policy.

What it costs you

Additional insured endorsements typically carry a small flat charge per endorsement or per policy year — meaningful on a tight bid, but not the reason your insurance is expensive. The real cost is the delay when it's handled wrong: the wrong endorsement language, the wrong entity name, or a certificate issued instead of the endorsement. Send your agent the exact contract language and the exact legal name of the party. It takes one careful pass instead of three corrections.