Additional Insured Coverage in Construction Contracts and Interplay With Contractual Indemnification Clauses

This CLE course will provide attendees with a review of key issues in, and the evolution of, additional insured (AI) coverage under commercial general liability policies, the interplay between contractual indemnification and AI coverage, and best practices to maximize AI coverage and for insurers to minimize exposure.

AI coverage is commonly used by parties in construction contracts to allocate and transfer risk. Parties seeking to be named as an AI desire the broadest form of coverage available and wish to avoid surprises once a claim is made against them.

Understanding the relationship between contractual indemnification and AI status is key to maximizing coverage and recovery. For example, insurers are typically required to defend and indemnify an additional insured under AI coverage, but the express requirement to defend an insured's contractual indemnitee may not be required.

Listen as our panel of construction experts discusses the use of AI coverage and contractual indemnification clauses to allocate risk in construction contracts effectively and offer tips on best practices for both contractors and insurers.