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Section 8Risks and Insurance

Clause 84.3

Insurance — Joint Names

Purpose

Insurance policies required by the contract are taken out in the joint names of the Employer and the Contractor. The parties have joint interests in the insurance proceeds.

Practical Application

Joint insurance avoids subrogation claims between the parties. Both parties are named insureds and can claim directly under the policy.

Common Pitfalls

The Contractor ensures its insurance broker confirms the policies are in joint names. Disputes can arise if one party makes a claim that prejudices the other's no-claims bonus.

Related Clauses

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⚠️ This commentary is for reference only. Always refer to the full NEC4 contract text and seek professional legal or contractual advice for your specific project.