In a world where nothing is free, how can it possibly be that there is such a thing as “free insurance” to cover the liability of others that you assume under contracts? That coverage exists and it is called contractual liability coverage.

To be more accurate the insurance is not exactly free, the cost of the contractual liability coverage was paid for by the purchaser of the general liability policy and most contractors pollution liability insurance policies. The insurance coverage is free for the asking if it is asked for in the right way and all of the requirements to be covered as an additional insured on another party’s liability insurance policy are met. The coverage is also free if someone wants you to cover them as an additional insured on your business liability insurance policies. But everything needs to be in order to get free insurance to function.