Course Description
This course on additional insured issues in construction was developed to provide an introduction to important risk management and insurance concepts for all contracting parties to a construction project. It provides an overview of the ways in which insured status under another party’s insurance program can be used as a risk transfer technique and examines in detail the terms and conditions on which insured status is provided in all the major lines of construction insurance. Particular emphasis is placed on additional insured status under general liability insurance, since that is where the most important contractual risk transfers are located. The course describes and analyzes standard endorsement language used to make owners, contractors, subcontractors, lessors, and design professionals insureds under another entity’s CGL policy. It explores complex and emerging coverage issues such as “other insurance” concerns; recent revisions to the most widely used CGL additional insured endorsements; problematic coverage exposures such as completed operations and third-party-over suits; and relevant caselaw interpreting the language under which additional insured status is provided.

The course also addresses insured status under other construction-related lines of insurance—commercial auto, builders risk, and workers compensation, explaining the coverage features typical of each line and the risk-transfer significance of insured status under these policies.

The educational objectives of this course include an understanding of the following.

1. The importance of “insured” status under the insurance policies most often used to write coverage on construction risks.
2. Standard reasons why indemnitees seek additional insured status under their indemnitors’ insurance policies.
3. The drafting history and current coverage provisions of standard CGL endorsement CG 20 10.
4. The differences between arranging additional insured status on a scheduled and an automatic basis.
5. The methods and coverage provisions applicable to arranging insured status for design professionals.
6. Coverage and risk transfer issues surrounding the defense of additional insureds and indemnitees.
7. The potential problems created for additional insureds by “other insurance” clauses and the best methods of dealing with them.
8. The legal principles that are applied to the interpretation of standard additional insured endorsements.
9. Issues affecting insured status under builders risk insurance, particularly steps to be taken in avoiding subrogation.
10. Additional insured issues in excess and umbrella liability, auto, and workers compensation insurance.

By IRMI
International Risk Management Institute, Inc. (IRMI) is the premier provider of risk and insurance continuing education and reference services. IRMI publications are considered the ultimate authority by leading insurance practitioners and even federal appellate courts when interpreting insurance coverage. Use the knowledge you gain from IRMI CE courses with confidence, knowing they are written by seasoned insurance professionals who employ diligent quality assurance standards to provide the most up-to-date, practical, and reliable information possible.