Additional Insureds: How much does your ins company charge you?

**hdrider_chgo** · 08-23-2010, 08:40 PM

Got a job where the customer and management company want 4 additional insureds added to my policy, and certificates issued in order to go forward with the work. Anticipating this, I had warned them when I did the proposal that if additional insureds were required, my insurance company would charge me and I would need to add those charges to the cost of the job.

My insurance company is charging me $125 for each additional insured added to the policy. ($250 if they are added on a primary, non-contributory basis, which is not required in this case). Adding certificateholders is free. The customer is saying they are being told by the management company and others in the building that this charge is excessive and unreasonable.

What do you think? How much do you pay for additional insureds?

**Dick Seibert** · 08-23-2010, 09:12 PM

Harley:

I don't quite understand, insurance companies require that we general contractors be added by our subcontractors' insurance as additionally insured on their policies, that is because they no-longer insure us for work down by our subcontractors, so we have to piggyback onto the subcontractors' insurance policies for coverage for the work they have subcontracted. I have been informed by many subcontractors that they are allowed three to five generals as additional insured on their policies, after that they pay anywhere from $100 to $250 more for each additionally insured general, I just tell them to add me and bill me for whatever their actual costs are.

I did have one instance remodeling a Catholic Church, the Church's attorney wanted me to add the church as additionally insured on my policy, this was a first for me, I was told that if someone tripped over my materials in the parking lot and sued me and the church that it was to cover the church for my negligence in leaving materials around. My insurance company didn't charge anything, maybe because it was the only one additionally insured on my policy.

**Overbuilders** · 08-23-2010, 09:47 PM

Last I checked, $100 per.

**David Meiland** · 08-23-2010, 09:49 PM

My broker gets these issued at no cost to me. A few customers have asked for them over the years. A few of my subs have told me they have to pay for the certs that are issued to me, but that's a condition of doing the job and I won't pay it, they need to price it in somehow or absorb it.

**Ted S.** · 08-23-2010, 09:59 PM

I paid a flat rate at the time of renewal as I am working for government agencies and need to add addl insureds often. Once you pay the flat rate, there is no additional charge.

**hdrider_chgo** · 08-23-2010, 10:03 PM

To clarify: There is no GC involved. Although I have a GC license, I am operating as a specialty contractor, contracting to the owners. The additional insureds would be the unit owners, the building, and the building's management company.

**Robert Z** · 08-23-2010, 11:13 PM

I've only been charged one time for this by my insurance company, and it was only $10.00. I don't know why they haven't done it before or since then.

**seeyou** · 08-24-2010, 05:06 AM

I've been getting charged $50/per.

**tjbnwi** · 08-24-2010, 07:10 AM

hd,

I pay $25.000 per additional insured. The company has a program where you are charged $150.00 a year for unlimited number of additional insured for a year. Currently I have 4 so I still go with the "pay as I go".

Tom

P.S. I hope the company does not read this, hate to see the cost go up.

**Overbuilders** · 08-24-2010, 07:14 AM

Originally Posted by tjbnwi

hd,

I pay $25.000 per additional insured. The company has a program where you are charged $150.00 a year for unlimited number of additional insured for a year. Currently I have 4 so I still go with the "pay as I go".

25 large is a whole lotta money!

**tjbnwi** · 08-24-2010, 07:41 AM

No, thats like the meter on the gas pump they charge in tenths. Notice the decimal point not a coma.

OK $25.00, can't blame me for tryin'.

Tom

**Randy Bush** · 08-24-2010, 07:56 AM

I have only one GC that required it of me. Seems like it is costing me about 125.00 a year extra for it. The bad thing about it I have been told it that if you have a 2 million policy it cuts it in half by having the added on it. I really don't understand the purpose of. But seeing I only have one and he is a regular I will continue to have it.

**Overbuilders** · 08-24-2010, 08:06 AM

Originally Posted by tjbnwi

Notice the decimal point not a comma.

I did. It was the first glance that threw me off. ;)

**Stacey** · 08-24-2010, 06:09 PM

I have HO's name me as additionally insured and I name them as additionally insured, so the round robin of insurance goes. Cost to me is $50 per. Subs also have to name me as additionally insured. They never seem to complain about the cost, so I think they are paying about the same. Let's face it, when it comes down to it, they are going to deny any of our claims.

**Robert Z** · 08-24-2010, 07:58 PM

Originally Posted by Stacey

I have HO's name me as additionally insured and I name them as additionally insured, so the round robin of insurance goes. Cost to me is $50 per. Subs also have to name me as additionally insured. They never seem to complain about the cost, so I think they are paying about the same. Let's face it, when it comes down to it, they are going to deny any of our claims.

" Let's face it, when it comes down to it, they are going to deny any of our claims"

Stacey, I see you are as pessimistic as I am !

(I don't know how to bold highlight a quote)

Thread: Additional Insureds: How much does your ins company charge you?

Thread Tools

Display