What is the purpose of Designated Insured CA 20 48 endorsement?

• A. To list a person or organization as an additional insured
• B. To remove an insured from the policy
• C. To designate a named insured as primary on all claims
• D. To limit coverage to non-owned autos only

Answer: (A)

The designated insured endorsement is used to add a third party to the policy as an insured. It lets the named insured designate a person or organization to be covered under the policy, typically to meet contract requirements or protect someone who has a financial interest in the insured’s operations. By designating them, that party is treated as an insured under the policy for the occasions and coverages described in the endorsement, with the same basic protections the policy provides to the named insured, subject to the endorsement’s terms. This is the main idea behind CA 20 48: it lists someone else as an insured on the policy, not to remove coverage, designate primary on all claims, or limit coverage to non-owned autos.