Commercial auto additional insured endorsement

Whether you're a consultant driving to meet a client or a contractor hauling materials to a job site, a commercial auto additional insured endorsement can help protect third parties by extending certain liability coverage. At Progressive Commercial, we make it easy to add this endorsement so you can meet contract requirements and support your business partners.

What is a commercial auto additional insured endorsement?

A commercial auto additional insured endorsement lets you add another person or business to your commercial auto insurance policy. It gives them limited liability protection for certain claims tied to how your vehicle is used.

What's the difference between a named insured and an additional insured?

• Named insured: The person or business that buys the policy and gets the full range of protection.
• Additional insured: Someone outside the business who gets added to the policy for specific, limited coverage. They're protected in certain situations, but they can't make decisions about the policy.

Example: Let's say a general contractor hires you and asks to be added as an additional insured. If an accident happens while you're using a covered vehicle to deliver materials, the general contractor could be named in a lawsuit. Your commercial auto additional insured endorsement could help protect them.

Why do you need a commercial auto additional insured endorsement?

Here are some of the main reasons you should consider a commercial auto additional insured endorsement:

• Meet contract terms: Clients, partners, or contractors may require additional insured status before work begins.
• Support business relationships: Adding an additional insured can help reassure partners that they're protected when working with you.
• Reduce coverage disputes: Additional insured status creates clearer coverage expectations that can help avoid confusion if a claim happens.

What does an additional insured endorsement cover?

This endorsement may help protect the additional insured if they're held legally responsible for an accident involving your business vehicle. It can cover:

• Bodily injury and property damage to others
• Legal defense costs related to those claims
• Settlements or court judgments, up to your policy limits
• Some claims involving vicarious liability, where the additional insured is held responsible for your actions

An additional insured endorsement won't cover physical damage to the additional insured's property or vehicles. It also doesn't cover injuries to their employees.

Types of commercial auto additional insured endorsements

There are several types of commercial auto additional insured endorsements. Each offers a different level of protection based on specific contract requirements and risk management goals.

Limited coverage endorsement

This endorsement offers narrower protection for specific risks tied to covered vehicle use. It's often used for short-term projects or limited agreements.

Comprehensive coverage endorsement

A comprehensive coverage endorsement can provide protection beyond auto accidents to the additional insured. It's commonly used for long-term partnerships or work in a higher-risk industry like construction.

Blanket additional insured endorsement

A blanket additional insured endorsement lets you automatically add coverage for certain partners, instead of naming each one individually. It can make it easier to meet contract requirements without updating your policy every time.

This type of endorsement can be a good fit for businesses with multiple partners or contracts, such as cleaning services, delivery crews, and contractors.

For coverage to apply, you'll usually need a signed written contract between you and the additional insured before any injury or property damage occurs.

Who needs a commercial auto additional insured endorsement?

This endorsement is common in industries that rely heavily on commercial vehicles, such as:

• Construction: Subcontractors often add general contractors to their policies for vehicle liability coverage.
• Landscapers: A landscaping contractor working for a property management company may list that company as an additional insured.
• Consulting firms: Consultants who drive to client locations may name those clients on their policies.
• Cleaning businesses: Janitorial and cleaning services could add the clients they serve, such as office buildings or retail stores.

How does a commercial auto additional insured endorsement work?

Adding a commercial auto additional insured endorsement is easy with Progressive Commercial. Policyholders can request an additional insured on their policy. If you don't have a policy yet, you can get a quote online.

Either way, we'll review your information, confirm eligibility, and work with you to get the protection you need. Then, we'll send you a summary of your policy terms and coverage details.

Common misconceptions about additional insured auto coverage

Understanding how a commercial auto additional insured endorsement works can be confusing. It's important to know what this endorsement actually does to prevent coverage gaps. The following are common misconceptions:

Are there any exclusions to an additional insured endorsement?

Yes. Like any coverage, these endorsements have some exclusions. Here are the most common ones to keep in mind:

• Damage to the named insured's property
• Punitive damages
• Injuries to the additional insured's staff
• Non-liability claims
• The additional insured's negligence
• Intentional acts by the additional insured

Why choose Progressive Commercial for commercial auto coverage

When you need a commercial auto additional insured endorsement that fits your business, Progressive Commercial can help you get started. As America's #1 commercial auto insurer,^* we offer flexible coverages, expert customer service, and competitive rates.

You can start a quote today, review your options, and see next steps in one place — all at your own pace. Prefer to talk it through? Give us a call, and our licensed specialists will go over what you need to know.