Do I Need To Add Homeowner As An Additional Insured


From original questioner:

Hello All,

Here is an insurance question that is driving me crazy.

I have a contract with a gc, he wants me to list the HO as additional insured. My broker says no , the reason they give is that I do not have a contract with the HO. The gc says thats wrong, all their subs do it. Who is telling the truth? Thanks Steve

From contributor Al

Pretty common to insure the property owner as an additional insured; you burn their building down, they want you to cover it first.

It's common to cover the lender, the property owner, the GC and the CM if there is one as well as any other parties that may get harmed or sued.

There is a lawsuit, they want you to pay regardless of fault. Its transfer of risk. Your broker may not see it but its common in commercial and GC work.


From contributor Al

If you signed the GC's contract the GC's contract with the owner is usually included by reference and you are bound by what ever the GC is bound by and the GC's contract probably has insurance requirements

From contributor ja

Usually there is a Cost, make sure your Contract defines who pays, if it was not in contract you signed then make them pay.

From contributor Ja

As along time GC , my insurance required that my subs list me as an additional insured.

From contributor St

Thanks all
Don't know what my broker was talking about.

From contributor Ji

Don’t know if this is comparing apples to apples or apples to oranges, but it may help. For years I flew Hot Air Balloons, and went all over the southwest flying in different Balloon Events. The people that put on the events started asking for all the pilots to name the event organizer as an “Additional Insured” on our insurance policies. The insurance writers/brokers said they would but suggested to “NOT” do it. Reason for that is in an event with say 30 balloons, someone gets hurt, even if it was just a spectator watching from the field and had nothing to do with any of the balloons flight operations, the insurance company of every pilot entered in that event would be responsible for an equal share in the accident and or law suit. So all the pilots refused to do the “Additional Insured” and the event organizers stopped trying to get it to happen. They were trying to increase their amount of coverage on the backs of all the participants entered.

Now in this case if all subs have listed the GC and HO as “Additional Insured” and just one of them creates a problem, in this case as listed above and burns down a house. It is possible then the total amount of the loss can be spread across the insurance companies of all the sub contractors, not just the one that caused the fire.

This may not be the case but would be well worth checking with your insurance company and the coverage within your policy.


From contributor oz

my friend told me this real story,

his friend run a cable business he was installing a cable behind the walls, he drilled the wall and inserted the snake to pass the wires, he hit something and sparked but didn't understand what was it. anyway he finished his job and went home. Next day that house was burnt down.
Guess what, the elecrtician from 4 years ago who install the box in the wall sued. cable guy walked away.

Make sure you have all the proper paperworks.

Nyc Gc

From contributor Je

Pretty typical in commercial work. There is usually a charge associated with it as well. I have a rider added so I just pay it once a year instead of incurring a separate charge every time someone asks to be added. The price of the rider is about the same as for a single use and you don't have to add it to the bid, covered in overhead.