Construction Litigation
Construction Analysis
The mechanism combines indemnity obligations, additional insured requirements, waivers of subrogation, and insurance specifications to shift risk from owners and upper-tier contractors to those performing the work.
Anti-indemnity statutes constrain the transfer.
Alternative Names:
Risk Transfer|Contractual Risk Allocation
Why it Matters?
The components must work together, since an indemnity provision voided by an anti-indemnity statute leaves only the additional insured coverage, and an endorsement form narrower than the indemnity leaves a gap between what was promised and what is insured. Reviewing certificates rather than actual endorsements is the recurring failure, because a certificate confirms nothing about the coverage form's scope. Waivers of subrogation also require carrier consent to be effective.
Frequently Confused with
Related terms
Frequently asked questions
Why must the components work together?
What is the recurring failure?


