What it does
The umbrella's insured definition excludes partnerships, joint ventures and LLCs not shown as named insureds. CU 24 81 automatically includes LLCs the named insured newly acquires or forms, as the underlying CGL can do.
Who needs it
Businesses, real estate owners and contractors that create single-purpose LLCs for projects or properties.
How it fits the umbrella
ISO umbrella endorsements are listed on the umbrella declarations and change the CU 00 01 coverage form. Many are designed to follow a matching CGL, auto or employers liability endorsement so that the umbrella and the underlying policies respond the same way; when you add the underlying endorsement, ask whether the umbrella needs its counterpart.
Quoting and selling notes
- Ask the client to report new entities at renewal anyway; automatic status is usually time-limited or conditioned.
