An insurance endorsement is like a mini-policy that is added to a current insurance policy to change the original insurance policy terms and/or coverages. Insurance endorsements can be used in many ways to enhance an insurance policy and to provide a more complete and individual coverage for policyholders.
Some examples of what an insurance endorsement can do is add to the coverage of an insurance policy, limit the coverage of a policy and add people and locations to an insurance policy. The addition of an insurance endorsement can increase, decrease or not change the insurance policy premium.
Endorsements used in insurance policies can differ depending on the insurance company and the type of insurance the endorsement is applied to. It is important to understand what endorsements are available for a policy along with how that endorsement can change the current insurance policy.