Insurance Endorsement

What Does Insurance Endorsement Mean?

An insurance endorsement is a modification to a policy requested by the policyholder. This change may add or remove a provision, potentially affecting the premium cost. Any added provision is referred to as a rider. Once approved by the insurer, the endorsement is attached to the original policy.

Insuranceopedia Explains Insurance Endorsement

If a policyholder believes they cannot afford the premium but wants to retain the policy, they can request a modification through an endorsement. For instance, they might ask the insurer to reduce the scope of coverage, which would result in a lower premium.

Conversely, a policyholder may choose to add a provision to the policy. In car insurance, for example, they might request coverage for additional individuals, such as family members or a paid driver, in case of an accident. This type of modification would increase the premium cost. The steps for doing this are walked through in our guide on how to add a driver to your car insurance.

How an insurer handles endorsement requests, and what they charge for them, can vary between carriers, so it pays to compare options before buying a policy. Our list of the best car insurance companies looks at how the major insurers stack up.