A Named Insured and an Interested Party have different roles on an insurance policy.

The exact rights of each party depend on the insurer and policy wording.

What is a Named Insured? #

A Named Insured is a person or legal entity specifically identified as an insured under the policy.

Depending on the policy wording, a Named Insured can have rights and obligations relating to:

• Policy coverage
• Claims
• Disclosure of information
• Compliance with policy conditions

A policy can contain more than one Named Insured.

What is an Interested Party? #

An Interested Party is generally a person or organisation whose financial or other recognised interest is noted on the policy.

Examples can include:

• Banks
• Financiers
• Landlords
• Other parties with an interest in insured property

Being noted as an Interested Party does not necessarily make that party a Named Insured or provide them with the full cover available to an insured.

Terms such as Interested Party, Noted Party, Additional Insured, Named Insured and Principal can have different meanings and legal effects. They should not be treated as interchangeable.

If a contract asks for another party to be insured, send the requirement to Webber Insurance before agreeing to it. Adding another party as an insured can have broader consequences than simply noting their financial interest.

For Professional Indemnity Insurance, a Principal’s Indemnity extension may provide certain protection to a principal for liability arising from the insured’s professional services. The scope varies between policies and should be checked against the contract and wording.

You can also read What is an Interested Party on an insurance policy?.

Contact our team if you receive a request to add another person or organisation to your insurance.