Does the insured under a Commercial General Liability policy have the right to unilaterally transfer its policy rights to another company?

Answer

NO. This is Typically Specified as Prohibited in the insuring contract language and would result in a default on your part. It generally is penalized with immediate policy cancellation, voidance or nullifiction of all coverage even retroactively that may have afforded to you under the insurance ageement or contract. The language will generally consider a default whether or not the insurer has received notice of your transfer.

Although Certain types of transfers may be allowed. they will generally require approval by the Insurance Company.

You are required under the terms of your policy to notify them prior to completeing any transfer. The New "Insured" entity typically must also be qualified and rated according to the Inusrance Product line. The New insured may or may not be an acceptable risk, they also must meet the insurance companies underwriting guidelines.

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