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New ISO Forms Impact Construction Contracts

By Heather N. Sharp and Seth A. Schmeeckle
August 27, 2013

The Insurance Services Office, Inc. (“ISO”) started introducing new commercial general liability forms and endorsements in April 2013. This is the first major revision in several years. In this new rollout, ISO makes 11 coverage form changes, including a change to the Other Insurance provision, and over 80 endorsement changes. Most of the endorsement changes consist of revisions to previously existing endorsements, but ISO is also introducing several new endorsements.

The new ISO line includes major changes to over 20 additional insured endorsements, along with the introduction of a brand new blanket additional insured endorsement. The revision additionally includes a change to the endorsement modifying the definition of “insured contract.” Over 30 professional service endorsements have undergone changes. These new forms and endorsements will significantly impact coverage for contractual indemnity and additional insured obligations assumed by policyholders in contracts, particularly in the construction industry.

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