A subcontractor's commercial general liability (CGL) policy provides 'additional insured' status to the prime contractor for the sub's negligent work. If a third party is injured and sues both the sub and prime, under California law:
Explanation
Civil Code §2782.05 voids or limits provisions that require a subcontractor, or its insurer, to insure or indemnify a general contractor or owner for that party's own active negligence, so the endorsement responds to the prime for liability arising out of the sub's work and its share of fault, and the sub's insurer must still defend as to those claims. (a) overstates the statute: the endorsement is limited, not abolished, and additional insured coverage is standard on California jobs. (b) is the very obligation §2782.05 removes. (d) is the belief that the endorsement is a blanket — it is not, and the prime's own policy answers the prime's own negligence.
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