Adding Clients to your Insurance Policy as Additional Insured

[Derek]

i am fed up with this, but realize it is a necessary evil, at least in NYS it is.

anyone else come across 1 or 5 prospects per year that will give you the $400 job but you are required to add them to your policy as Additional Insured?

costs me about $250 for each company i add to my Additional Insured list


i put it back on them and let them know the deal. yesterday a prospect wanted $136 of halls cleaned. then they remember that i have to list them as Additional Insured. after a lot of irritation i call her back and say the best i can do is if her company pays for half of the $250 it'll cost me. so i'd still have to pay $125 out of my pocket to the Insurance Co., and then i bill her (the Client) $261. she declined.

any one else have to pay this silly fee for adding Client's to the Additional Insured list?

[Athos]

I use Statefarm out here in CA. I pay around $25.00 for additional insured.

[David-Hebert]

guess I am lucky I do not pay anything

[wecarecleaningservices]

Another lucky one here too. We don't pay anything. Found it is a VERY effective tool to offer it up when working to develop new prime commercial accounts.

[prodrying]

I have to add 1 - 5 a year like you Derek. So for though they don't charge me. They used to charge me 25.00 years ago before I had to have a pollution policy in addition to my GL. Since I switched to the duel GL /PCL they haven't charged me. Probably because they already get an enormous amount of money a year from me.

[TheCleaningDude]

They don't charge me either. I email my agent, tell her who needs to be on the COI and the next day it's sent to me.

I also agree about it being an effective tool.

Derek, you need to find out if this is a junk fee your agent is charging you or what.

Another lucky one here too. We don't pay anything. Found it is a VERY effective tool to offer it up when working to develop new prime commercial accounts.

[NJP]

Wow, I've never been charged for add on's. Change your insurance carrier. JMO

[DON ELDRED]

Need to do it for several clients never been charged

[FloorCareMD]

Never been charged either. Did have one customer of 13 years recently demand we now carry 5 million$$ GL AND!!! 5 Million$$ auto policy (???) AND!!!! we would have to pay a yearly "membership" fee.. It was an office trailer

[encapman]

Add me to the list of ones who haven't been charged for adding new clients.

[Derek]

GRRR must be a NY thing?!

y'all are fortunate, i'm jealous. i am going to call around on Monday and see what other insurance companies say about this.

[TheCleaningDude]

Call your agent as well.

Who bills you for the add-ons? The actual carrier or your agency?

GRRR must be a NY thing?!

y'all are fortunate, i'm jealous. i am going to call around on Monday and see what other insurance companies say about this.

[Derek]

glad i called around and then spoke with my insurance agent!!

if i want to add a company to my additional insured it is $200 for 1 year, but i can have a company added temporarily (for a day or 3) for $20...perfect!!


tx for the advice y'all --- Derek.

PS, Damon the carrier charges us, not our insurance company. we could go with other carrier's who have a $25 per year fee, BUT those carriers premiums are double what we pay with this carrier.

[prodrying]

Thanks for the update Derek. That is good information to know.