Insurance policies may contain different types of insureds. Let’sstart by defining what an “insured” is. An insured is the party (an individualor an entity such as a business) who is covered under an insurance policy. Aninsured is often more than just the names shown at the top of the declarationspage. For example, in New York household family members are insureds on apersonal auto policy as well as anyone driving your auto with your permission.Employees of a business can also be insureds under a commercial policy whiledoing work for the business.

On the other hand, a “named insured” is the name of theperson or entity shown on the top of the policy declarations page. A namedinsured has certain rights and responsibilities that insureds don’t have andare afforded broader protection than other types of insureds. A named insuredcan make policy changes including coverage changes, request a policycancellation and add or remove additional insureds. In addition, they areresponsible for paying the premiums.

An “additional insured” is an outside party that receivescoverage under someone else’s policy. Additional insureds are added to a namedinsured’s policy by endorsement and may provide limited coverage. If a claim isfiled or a lawsuit materializes, the additional insured would be covered underthe named insureds policy. An example would be a business requiring acontractor to name them as an additional insured on the contractor’s liabilitypolicy while performing work at the business.

Contact us for personal and commercial insurance coverage in Patchogue, NY.