Which endorsement prevents subrogation against a party when a contract requires waivers of subrogation?

• A. Waiver of Subrogation
• B. Primary & Noncontributory
• C. Additional Insured
• D. Newly Acquired Organizations

Answer: (A)

Waiver of Subrogation endorsements prevent the insurer from pursuing recovery from a party that’s protected by a contract’s waiver. After a loss is paid, the insurer normally has the right to recover costs from the party responsible. When a contract requires a waiver of subrogation, the insured and the other party agree that the insurer will not exercise that right against the other party. Adding this endorsement to the policy formalizes that agreement, ensuring disputes between contracting parties don’t escalate into subrogation litigation and that risk is allocated as the contract dictates.

The other endorsements don’t accomplish this specific protection. Primary & Noncontributory relates to how the insured’s own coverage responds first and does not bar subrogation against another party. Additional Insured extends coverage to a party beyond the named insured but does not inherently waive subrogation rights. Newly Acquired Organizations extends coverage to entities acquired later, but again, it doesn’t address waiving subrogation.