When a prime contractor is named as an 'additional insured' on a subcontractor's CGL policy, the practical benefit to the prime is that:

a.The sub's premiums are paid by the prime
b.The prime no longer needs its own liability policy
c.The prime automatically becomes the policyholder
d.The sub's policy may defend and indemnify the prime for liability arising from the sub's work

Giải thích

Additional insured status extends the subcontractor's liability coverage to defend and indemnify the prime for claims arising out of the sub's operations. It shifts certain risk to the sub's insurer but does not replace the prime's own policy or transfer ownership of the policy.

Luyện miễn phí toàn bộ 1605 câu hỏi — không cần đăng ký.

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Sen Lin, Người sáng lập PrepPass · Đối chiếu với California CSLB Contractor License Law & Business Exam · Quy trình kiểm tra
Người kiểm duyệt Abraham Chen Licensed California General Contractor (CSLB License #1101856 kiểm tra)
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