Scheduled vs. Blanket Additional Insured: Which One Do You Need?

When a contract requires you to add someone as an additional insured on your general liability policy, you have two ways to do it: a scheduled endorsement that names the specific party, or a blanket endorsement that automatically covers anyone you're contractually required to add. Both achieve the same basic goal — extending your liability coverage to a third party for claims arising from your work. But they differ in how they're structured, how much administrative work they require, and how well they fit different business situations. Choosing the right approach depends on how many contracts you manage, how often you need to add additional insureds, and how your carrier handles endorsement processing.

What Is a Scheduled Additional Insured Endorsement?

A scheduled additional insured endorsement names a specific party — by their exact legal name and address — on your insurance policy. The endorsement is tailored to that one entity. It identifies who is covered, and the coverage applies only to that named party for claims arising from your operations.

When you need to add a new additional insured, you contact your agent, provide the party's name and address, specify the endorsement form required (such as CG 20 10 for ongoing operations or CG 20 37 for completed operations), and wait for the carrier to process the endorsement and issue an updated policy or endorsement document. Once processed, the named party receives additional insured coverage under your policy.

Advantages of Scheduled Endorsements

Precision. The carrier knows exactly who is covered. There's no ambiguity about whether a particular party qualifies. The endorsement clearly identifies the additional insured by name.

No contract dependency. Scheduled endorsements don't require a written contract to activate coverage. Because the party is named directly on the endorsement, the coverage exists regardless of whether a formal contract is in place. This can matter in situations where work begins before a contract is fully executed, or where the relationship is informal.

Easier verification. When the additional insured party requests proof of coverage, you can provide a copy of the endorsement showing their name. This is the most direct form of evidence that coverage is in place.

Disadvantages of Scheduled Endorsements

Administrative burden. Every new additional insured requires a separate endorsement request to your agent and carrier. If you work on multiple projects with different GCs, landlords, or clients throughout the year, you could be processing dozens of endorsement requests — each one taking time and potentially incurring a fee.

Processing delays. Endorsement requests don't happen instantly. Depending on your carrier and agent, processing can take anywhere from a few hours to several business days. If a client needs proof of additional insured status before you can start work, a delay in endorsement processing means a delay in getting on the job.

Per-endorsement costs. Many carriers charge $25 to $75 per scheduled endorsement. For a contractor who adds 10 to 20 additional insureds per year, those fees add up — $250 to $1,500 annually just in endorsement charges.

Risk of gaps. If you forget to request an endorsement for a new project or client, there's no coverage for that party. You might not discover the gap until a claim is filed and the additional insured finds out they're not actually covered under your policy.

What Is a Blanket Additional Insured Endorsement?

A blanket additional insured endorsement provides automatic additional insured coverage to any party you're required to add by written contract. Instead of naming specific parties, the endorsement uses broad language — typically something like "any person or organization that you are required to add as an additional insured under a written contract or agreement."

With a blanket endorsement, you don't need to request individual endorsements for each project or client. As long as the written contract requires additional insured status, the coverage automatically applies to the party specified in that contract.

How Blanket Endorsements Are Triggered

The key mechanism is the written contract. A blanket additional insured endorsement is activated by the existence of a signed contract or agreement that specifically requires you to name the other party as an additional insured on your GL policy. Without that written contract, the blanket endorsement doesn't apply to that party.

This means the blanket endorsement's coverage is only as broad as your contractual obligations. If you have a verbal agreement but no written contract requiring additional insured status, the blanket endorsement won't cover that party. The written contract is what triggers the coverage.

Advantages of Blanket Endorsements

No individual processing. You never need to call your agent to add a new additional insured. Every qualifying party is automatically covered by the blanket endorsement. This eliminates the administrative burden of processing individual endorsements throughout the year.

No processing delays. Because coverage is automatic, there's no waiting for the carrier to process an endorsement. The moment you sign a contract requiring additional insured status, the other party is covered. You can provide a COI showing blanket additional insured coverage immediately.

Cost efficiency. Blanket endorsements are typically priced as a single annual charge — often $50 to $200 per year, and sometimes included in the base premium at no additional cost. Compared to paying $25 to $75 per scheduled endorsement across dozens of projects, the savings are significant.

No gaps from forgotten requests. Because coverage is automatic, you can't accidentally forget to add someone. As long as your contract requires additional insured status, the coverage is in place. This eliminates one of the most common risks associated with scheduled endorsements.

Convenience for high-volume businesses. If you're a contractor who works with a different GC on every project, or a service provider who takes on multiple clients per month, blanket coverage saves substantial time and paperwork.

Disadvantages of Blanket Endorsements

Contract dependency. If there's no written contract — or if the contract doesn't specifically require additional insured status — the blanket endorsement doesn't apply. For informal business relationships, handshake deals, or situations where the contract language is vague, blanket coverage may not activate.

Verification can be indirect. When a GC or client asks for proof that they're specifically listed as additional insured, a blanket endorsement doesn't show their name. Instead, they'll see an endorsement that says coverage applies to "any person or organization required by written contract." Some requesting parties accept this readily. Others may want to see their name on the endorsement and may push back on blanket language.

Contract language matters. The specific language in the blanket endorsement and in the underlying contract must align. If the endorsement says "required by written contract executed prior to loss" and the contract was signed after the incident, there could be a coverage dispute. Similarly, if the contract requires additional insured status but uses unusual language that doesn't match the endorsement's triggering conditions, gaps can emerge.

Coverage scope varies. Not all blanket additional insured endorsements are created equal. Some provide broad coverage for both ongoing and completed operations. Others only cover ongoing operations, leaving a gap after the work is finished. The specific ISO forms and carrier-proprietary forms used in blanket endorsements vary, so it's important to understand exactly what your blanket endorsement covers.

Scheduled vs. Blanket: When to Use Each

Use Scheduled Endorsements When

• You have a small number of additional insured requests per year — fewer than five
• The additional insured party specifically requires a named endorsement and won't accept blanket language
• There is no written contract in place (verbal agreements, informal arrangements)
• You need to provide additional insured coverage for a one-time event or short-term project where a contract may not be fully executed

Use Blanket Endorsements When

• You regularly enter into contracts that require additional insured status — more than five per year
• You work in construction, property management, or any industry where additional insured requirements are standard in every contract
• You want to eliminate the administrative burden of processing individual endorsements
• You want to avoid the risk of accidentally forgetting to add a party
• Your clients and GCs accept blanket additional insured language (most do in the construction and real estate industries)

Use Both When

Many businesses benefit from having a blanket endorsement as their default, with the ability to add scheduled endorsements when a specific party requires named coverage. This combined approach gives you the efficiency of blanket coverage for routine contracts while retaining the flexibility to accommodate parties that insist on seeing their name on the endorsement.

What to Look For in a Blanket Additional Insured Endorsement

If you're evaluating blanket additional insured coverage, pay attention to these details.

Ongoing and completed operations. Make sure your blanket endorsement covers both. Many construction contracts require additional insured coverage that extends beyond the completion of work. If your blanket endorsement only covers ongoing operations, you'll have a gap for completed operations claims — and those are some of the most serious claims in construction.

The triggering language. Read how the endorsement defines when coverage applies. The standard trigger is a "written contract or written agreement." Some endorsements add additional conditions, such as requiring the contract to be executed before the loss occurs. Understand these conditions so you can ensure your contracts are structured to trigger the coverage properly.

Coverage limitations. Some blanket endorsements limit the additional insured's coverage to the minimum limits required by the contract. Others extend coverage up to your full policy limits. If a contract requires $1 million in additional insured coverage and your policy limits are $2 million, a "minimum required by contract" limitation would cap the additional insured's coverage at $1 million. Understand whether your endorsement has this limitation.

Carrier acceptance. Most sophisticated clients, GCs, and property managers readily accept blanket additional insured endorsements. However, some government contracts, large corporate clients, or institutional property owners may specifically require scheduled (named) endorsements. Know your client's requirements before assuming blanket will be accepted.

How to Request the Right Endorsement

When setting up your commercial general liability policy, discuss additional insured endorsements with your agent. Let them know how many additional insured requests you typically handle per year, whether your contracts generally require ongoing operations only or both ongoing and completed operations, whether any clients specifically require named endorsements, and whether you need blanket waiver of subrogation and primary and non-contributory as well (these are often requested alongside additional insured).

Your agent can then recommend the right endorsement structure — blanket, scheduled, or a combination — and ensure your policy is set up to meet your contractual obligations efficiently.

At SmartInsured, we set up policies with blanket additional insured endorsements as a standard practice for contractors, property managers, and service businesses across Washington State. If you're spending too much time and money processing individual endorsement requests, or if you're not sure whether your current blanket endorsement covers what your contracts require, reach out for a policy review and we'll make sure your coverage works the way it needs to.