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WRITTEN AGREEMENT REQUIREMENT IN POLICY FOR ADDITIONAL INSUREDS DID NOT REQUIRE AN EXECUTED AGREEMENT.

The First Department determined the “written agreement” requirement in an insurance policy did not mean a “signed agreement.” Here a purchase order required that the owner’s property manager, Newmark, be named as an additional insured. The purchase order did not have signature lines and was not signed. The court held the unsigned purchase order was a “written agreement” within the meaning of the policy language:

Defendant contends that Newmark and the owner are not additional insureds because the purchase order/agreement was unsigned. However, defendant’s policy merely requires a “written” contract, not a “signed” one. By contrast, in Cusumano v Extell Rock, LLC (86 AD3d 448 [1st Dept 2011]), the policy said, “The following are also an insured when you … have agreed, in writing, in a contract or agreement that another person or organization be added as an additional insured on your policy, provided the injury or damage occurs subsequent to the execution of the contract or agreement” … . As the motion court in Cusumano found, the insurer analogous to defendant in the case at bar “expressly included the word executed’ in[] its Policy, thereby requiring that any agreement by Regions to add a person/organization as an additional insured be memorialized in a signed contract” … . * * *

Under the circumstances, the court did not err by finding that the unsigned purchase order constituted a written contract for purposes of the additional insured endorsement … . Zurich Am. Ins. Co. v Endurance Am. Speciality Ins. Co., 2016 NY Slip Op 08313, 1st Dept 12-8-16

 

CONTRACT LAW (INSURANCE POLICY, WRITTEN AGREEMENT REQUIRED BY POLICY FOR ADDITIONAL INSUREDS DID NOT REQUIRE AN EXECUTED AGREEMENT)/INSURANCE LAW (WRITTEN AGREEMENT REQUIRED BY POLICY FOR ADDITIONAL INSUREDS DID NOT REQUIRE AN EXECUTED AGREEMENT)/ADDITIONAL INSUREDS (WRITTEN AGREEMENT REQUIRED BY POLICY FOR ADDITIONAL INSUREDS DID NOT REQUIRE AN EXECUTED AGREEMENT)

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