Why It’s Important to Understand Your Policy Wording
At SRS Insurance, we believe that good insurance isn’t just about having a certificate — it’s about understanding what’s covered, what’s excluded, and what conditions apply.
Two of the most important terms in any policy are:
- Endorsements
- Subjectivities
Knowing what these mean — and acting on them — ensures you stay protected when it matters most.
What Is an Endorsement
An endorsement is an addition, change, or limitation to your insurance policy.
It legally modifies your cover and takes precedence over the general wording.
Endorsements can:
- Add extra cover (e.g., for new equipment or locations)
- Restrict or remove cover (e.g., height limits or exclusions)
- Impose specific conditions (e.g., security, maintenance, inspections)
Example:
“Hot Works Warranty — cover applies only if a fire extinguisher is present when welding or cutting.”
If endorsements aren’t followed, your insurer may reduce or decline a claim.
What Is a Subjectivity?
A subjectivity is a requirement you must complete before or shortly after your policy starts.
Until it’s satisfied, your cover may be limited or conditional.
Common examples include:
- Providing a copy of your Health & Safety policy
- Completing a site survey or risk assessment
- Supplying proof of employee or subcontractor insurance
If you don’t meet a subjectivity, the insurer can:
- Withdraw cover
- Decline claims
- Cancel the policy altogether
Common Endorsements & Subjectivities Explained
| Type | What It Means | Why It Matters |
| Height Work Limitation | Work above a set height (e.g., 10m) excluded | Working at height without cover risks full claim rejection |
| Hot Works Warranty | Fire precautions required during welding/cutting | Fire claims invalid if procedures not followed |
| Bona Fide Subcontractors Clause | Subcontractors must carry their own insurance | You may be liable if they don’t |
| Minimum Security Requirements | Locks, alarms, shutters or CCTV standards | Theft claims refused if not compliant |
| Subject to Satisfactory Survey | Property must pass an insurer survey | Cover can be withdrawn if issues remain unresolved |
| Health & Safety Compliance | You must maintain an H&S policy and procedures | Injury claims can be reduced if standards not met |
| Product Recall Exclusion | No cover for recalling defective goods | Requires separate product recall insurance if needed |
| Retroactive Date (PI Insurance) | Only covers work done after a set date | Older work not insured — crucial for solicitors & consultants |
| Provision of RAMS | Risk Assessments & Method Statements required | Claims may be denied if RAMS missing for high-risk jobs |
| Combustible Materials Exclusion | No cover for damage involving high-risk materials (e.g., EPS) | Disclose material types to avoid disputes |
| Electrical Inspection Condition | Regular fixed wiring tests (e.g., every 5 years) required | Fire claims declined if inspections missed |
| Contractual Liability Limitation | No cover for liabilities assumed under contract | Review contracts carefully before signing |
| No Material Change Clause | You must report any major business or property change | Failure to disclose can invalidate cover |
Claims Conditions – The Overlooked Endorsements
Some endorsements apply after a loss occurs.
For example:
- Notify insurers within a set timeframe (e.g., 7 days for theft)
- Preserve damaged property for inspection
- Assist with investigations
Failure to meet these can also invalidate an otherwise valid claim.
How SRS Insurance Supports You
At SRS Insurance, we don’t just send you a policy — we:
- Review and explain every endorsement and subjectivity in plain English
- Highlight any urgent actions required before binding cover
- Ensure your activities and descriptions match insurer definitions
- Track and update your compliance throughout the policy year
Top Tips for Policyholders
- Always read your endorsements and subjectivities carefully
- Keep written proof — surveys, RAMS, maintenance records, training logs
- Tell us immediately about new activities or changes
- Ask if you’re unsure — no question is too small