IRMI Update Quiz
Which of the following statements about additional insured coverage is not generally true?
A. The scope of additional insured coverage depends heavily on the specific wording of the endorsement.
B. State law can significantly affect how additional insured coverage is interpreted and applied.
C. Additional insured status automatically provides coverage for all liability of the additional insured, regardless of the endorsement language.
D. Contractual risk-transfer provisions should be evaluated alongside the insurance policy when assessing protection.
Correct Answer: C. Many additional insured endorsements limit coverage to liability caused, in whole or in part, by the named insured's acts or omissions. Additional insured status does not automatically cover the additional insured's independent negligence or all liability exposures. Learn more about additional insured status and the reasons to require it.
