Who or what qualifies as an additional insured?

An additional insured is defined as a person or entity that is not the primary policyholder but is granted certain rights and benefits under an insurance policy. This often occurs through an endorsement to the insurance contract, allowing the additional insured to receive coverage for specific claims or liabilities that may arise related to the primary insured's operations or actions.

When a person is added to a policy and gains protection under it, they essentially become a party that the insurer is obliged to cover for specific risks, making option B the correct response. This is a common practice in many commercial insurance agreements, especially in construction contracts, where contractors or subcontractors may require to be named as additional insureds to extend coverage for potential claims that might arise from the operations of the entity that holds the insurance.

The other options do not fit the definition of additional insured. For example, a person excluded from policy coverage would not receive any benefits from the policy. Meanwhile, a government entity involved in insurance regulation is not considered an insured party under an individual insurance policy but rather oversees the compliance of insurance companies. A company that underwrites the insurance policy is responsible for evaluating and assuming the insurable risks but does not acquire the status of an additional insured through this role.