ARE
Your Association has Been Named an
YO U
Additional Insured on a Vendor's Policy
SURE?
CHRISTOPHER MALLOY, ESQ.
A common misconception among condominium boards and managers is that,
when a vendor furnishes a Certificate of Insurance ("COI") which lists the association
as being an Additional Insured, that COI is all that is needed for the association to
obtain protection under the vendor's policy. In almost every circumstance, this belief
is incorrect, which creates a false sense of security for boards and their managers.
Potentially disastrous liability and financial exposures exist where an association
assumes a loss will be covered by a vendor's policy, but the policy itself was never
formally modified to add the association as Additional Insured.
26
CONDOMEDIA March 2020