Additional Insured on Commercial Property Policy?

[alsaxon]

Is there a such thing? I understand being named as mortgagee and loss payee, but people, especially banks are beginning to ask for AI status on property policies. Huh? Also, the acord 27 does have a box to check for additional insured which makes them even more adamant.

Any gurus out there?

[CSP]

Check your policy. Many commercial policies make the lender an automatic additional insured.

[gregcw]

Check your policy. Many commercial policies make the lender an automatic additional insured.

Are you sure that you do not mean "Additional INTEREST" ?

This is different from "Additional INSURED" because General Liability coverage is not afforded to a lienholder while it is to an additional INSURED.

[CSP]

Like I said, "CHECK YOUR POLICY"!!!! Several of our commercial carriers, when the policy is checked, mortgagees and landlords are automatic "additional insured". If you can't tell by reading the policy, call the carrier and ask. If you don't ask the carrier you will never know for sure if you can't figure it out. It's their policy, have them put it in writing and they are tied to the decision one way or the other.

[litsinc]

Just caught your question on commercial property forms and additional insured status. If you look at the ISO CP 00 10 04 02, Building and Personal Property Coverage Form, you'll find Mortgageholders mentioned under the Additional Conditions on page 12. Mortgageholders are Addtional Interests whose interests are recognized by the insurance company at the time of loss if they have an insurable interest. There is no mention of mortgageholders as additional insureds.

In the ISO GG 00 01 12 04, Commercial General Liability Coverage form, there is no mention of mortgageholders as additional insureds. They may be added as additional insureds using the Mortgagee, Assignee or Receiver endorsement.

We are often asked to add an entity as an additional insured when it is their additional interest that needs attention.