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Sub's Insurance Demands / Do You Have A Monitoring Certificate / Who Wants To Give A Webinar? -January 19, 2017

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NOTICE:  We are scheduling a series of webinars entitled "All you need to know about ______".  If anyone would like to participate as a presenter please let me know your topic.  Thanks.
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sub's insurance demands
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Ken,
    Please look at the wording below.  We haven't even sent a copy of our contract over to these people yet.  They want to send their contract to me but they want to have our W9, License and Insurance first.  This is for a burglar alarm and a CCTV system for a restaurant.  My concern is the wording they want on the insurance certificate.  Your thoughts are always appreciated.
    "Please send over your insurance, W9 and a copy of your business license in order to process the contract for the Project. Also please have your agent add the following language to the Description of Operations: XXXXXXX, LLC is listed as an additional insured on a primary and non-contributory basis with regards to General Liability, only as required by written contract, including ongoing and completed operations. Waiver of subrogation applies. Also Additional Insured and Waiver of subrogation in regards to Auto Liability as required by written contract. Waiver of Subrogation in regards to Workers Compensation as required by contract.  Attached is a sample certificate. If you have any questions please let me know.  Once I get this information I can process your contract."
Greg
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Response
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    Your subscriber is requiring that you obtain insurance which will be a "primary" policy for the subscriber, who will be added as an additional insured.  You also have to waive subrogation rights in regards to Workers Compensation claims.  
    This subscriber's requirements, though not unusual, are of course completely contradictory to the terms in your agreement.  I am going to assume that you are using the Standard Form Agreement, in this case either commercial fire or security.  You have made a tactical error in your sales pitch [yes I am now giving sales pitch advice].  You've allowed your subscriber to gain the upper hand because your subscriber presented it's contract form first.  And why not, you have provided a contract yet.  The subscriber hasn't had a chance to read your contract and complain about all the provisions.  But now the discussion is going to be about the subscriber's form, and the subscriber is going to tell you the same thing you would be telling the subscriber about your contract:  "I don't know, my lawyer and insurance company said I have to use this form agreement; so sign it or I'm walking ...."  
    If you decide to comply with the subscriber's request be certain that your insurance carrier is on board, which it will have to be to issue the Additional Insured Certificate.  
    So the better practice is for you to present your Contract first.  Your contract is specific for your scope of services, your trade, and far more detailed than the subscribers generic form that deals with insurance and indemnity.  Then the conversation will be about your form agreement.  In the end you have to decide what agreement you will sign and what risks you are willing to take.
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do you have a monitoring certificate
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Ken,
    One of my customers who has an alarm system through us is asking for a monitoring certificate to submit to their home owners insurance. I called up our central and they do not provide this. They did tell me I could create one myself. Can you tell me if this is something I can make up, or do you provide this?
Nicolle Columbia
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Response
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    There is no statutory or insurance regulation Monitoring Certificate that I know of.  Some insurance companies will only write certain insurance or provide discounted premium if the insured proves there is an alarm system in the premises.  Though you could tell the subscriber to just show the Alarm Contract, that's probably going to open a can of worms because the carrier isn't going to like what the subscriber signed.  
    You could provide a letter simply stating that you are indeed providing alarm monitoring services.  You can word it as elaborately as you like, but simple is better.  You can also design a fancy Certificate of Monitoring with all the gold leaf you like.  I won't take the bait and design this form and then add it to our Standard Forms for $175. [then again maybe I will]   I can hear the groans ....
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