What it does
CG 20 03 adds the concessionaires shown in the schedule as additional insureds, but only for their liability as a concessionaire trading under the named insured's name. It applies to the CGL and Products/Completed Operations coverage parts.
Who needs it
Retailers and venues that lease a department or counter to an independent operator who trades under the host store's name, where customers would reasonably treat the concession as part of the host business.
Key provisions and limits
- Schedule lists the concessionaire(s).
- Coverage applies only to the extent permitted by law.
- Contract-based limits: coverage is no broader than any contract requires, the most paid for the additional insured is the lesser of the contract-required amount or the policy limits, and the endorsement does not increase limits.
Quoting and selling notes
- Ask for the concession agreement and confirm whether the concessionaire carries its own CGL; host underwriters will want the concessionaire's sales or receipts.
- Concessionaires trading under their own names are normally handled by requiring them to name the host as additional insured on their own policy instead.
