A contract requires the owner to be protected under the contractor's liability policy. What endorsement request matches that requirement?
Correct Answer
A) Additional insured.
An additional-insured endorsement can extend specified liability protection to the named party under policy terms.
Why This Is the Correct Answer
An additional-insured endorsement can extend specified liability protection to the named party under policy terms.
Why the Other Options Are Wrong
Option B: Owner draw.
Owner draw. skips the written authority, scope, price, notice, or release control needed for the contract control.
Option C: Lien foreclosure.
Lien foreclosure. skips the written authority, scope, price, notice, or release control needed for the contract control.
Option D: Sales tax permit.
Sales tax permit. skips the written authority, scope, price, notice, or release control needed for the contract control.
Memory Technique
When controlling clashes with endorsement, let the contract speak before Reviewing Insurance.
Reference Hint
Study anchor (closed-book): memorize cited employment duty from CSLB Law and Business Study Guide; California Civil Code mechanics. / CSLB Law and Business Study Guide commercial insurance; know the rule or calculation trigger without relying on exam-room lookup.
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