Before binding a policy, please check that the policy has the right company listed as the "Named Insured." The "Named Insured" is the principal designated policyholder on the policy. This is the entity that will receive notices and will have the right to request changes to, or cancellation of, the policy. Any subsidiaries (at the time of issuance) over which the Named Insured has Management Control will automatically be covered as long as their revenues are included in the application. Management Control is defined as:
1. owning interests representing more than 50% of the outstanding voting shares or securities; or,
2. having the authority pursuant to by-laws, charter, or other written agreement to elect, appoint or designate the majority of the board of directors, trustees or members of the management committee or management board or functional equivalent of an entity.
If you need to add a subsidiary to an insurance policy, or to make a correction to a policy, please contact us.