Complete Policy Review Checklist Guide for Insurance Agencies

An insurance policy review checklist is the structured procedure an agency uses to confirm that a newly issued, renewed, or amended policy actually provides the coverage the insured was promised and the agency communicated. Most E&O claims in insurance agencies trace to failures in this review. The policy came in from the carrier, the CSR filed it, the client received a copy, no one compared the forms and endorsements on the policy to the quote, the binder, or the application. Three years later, a claim reveals the mismatch. The checklist is the process that catches mismatches before they become claims.

This guide covers a 47-point checklist organized by the four sections of a standard commercial package policy: declarations, forms schedule, endorsements, and exclusions. Each item has a specific verification step. The checklist includes the commonly missed endorsements (IL 00 17, CG 24 26, CG 22 43) and the named insured vs first named insured distinction that creates coverage gaps in ways agents often do not see until litigation.

Key Takeaways

• A complete policy review has four sections with 47 specific verification items: 14 for declarations, 11 for forms schedule, 15 for endorsements, and 7 for exclusions.
• The named insured vs first named insured distinction matters for signature authority on cancellation, claim notice obligations, and direct dealings with the carrier. Most agencies misunderstand it.
• The three most commonly missed endorsements in agency review are IL 00 17 (Common Policy Conditions), CG 24 26 (Amendment of Insured Contract Definition), and CG 22 43 (Exclusion - Engineers, Architects or Surveyors Professional Liability).
• Policy review should occur at binding (within 5 business days of policy receipt), at renewal (within 15 business days of renewal effective date), and at any mid-term endorsement.
• The review typically takes 45 to 90 minutes for a commercial package policy, 15 to 30 minutes for monoline.
• BrokerageAudit's Policy Checker reads the policy at the form-and-endorsement level and flags omissions against a library of 2,400+ ISO and carrier proprietary forms.

Why Policy Review Is a Distinct Discipline

Policy review is not the same as policy issuance, and it is not the same as coverage analysis at quote stage. It is the post-issuance verification that the policy document actually matches what was discussed, bound, and represented.

The agency's duty here is established by state standard-of-care law. Courts have held that a reasonably prudent broker or agent receiving a policy from the carrier must review it to confirm the coverage matches the application and binder. Failure to review is negligence.

Three specific failure points drive most E&O claims:

Missing endorsement. The quote specified additional insured coverage. The binder confirmed it. The policy arrives without the CG 20 10 endorsement. No one reviews. A claim occurs. The certificate holder sues.

Wrong edition date. The contract required CG 20 10 10 01 (the broader 2001 edition). The carrier issued CG 20 10 04 13 (the narrower 2013 edition). The edition difference is not caught at review. A claim arises. Coverage is narrower than expected.

Unnoticed exclusion. The policy includes a new exclusion that was not on the expiring policy. The agency does not notice. The client loses coverage on a claim type they had last year.

Each of these is catchable with a structured review process. Structured review is what the checklist provides.

Section 1: Declarations Page Review (14 Items)

The declarations page (dec page) is the first and most important section of the policy. It identifies the parties, policy period, coverages, limits, and premium. A thorough declarations review catches errors at the highest level.

1. Named insured name and spelling. Exact match to the binder and the application. Misspellings (missing comma, abbreviated LLC, wrong suffix) create problems at claim time.

2. First named insured designation. On policies with multiple named insureds, confirm the first named insured (listed first) is correct. The first named insured has specific rights and obligations.

3. DBA names. Any "doing business as" names should be scheduled on the declarations, either directly or via an endorsement.

4. Mailing address. Correct address for notices, claims communication, and premium billing.

5. Policy period. Exact effective and expiration dates and times. Many policies default to 12:01 AM; some carriers use 12:00 PM. The hour matters in loss claims near the boundary.

6. Policy number. Correct format for the issuing carrier (Hartford 12-digit, Travelers 10-digit alphanumeric, etc.). Policy number format consistency is a basic fraud check.

7. Producer information. Agency name, code, and contact information. The producer code should match the carrier's internal producer code on file.

8. Coverage lines. List of coverages included (property, general liability, auto, inland marine, equipment breakdown, crime, workers compensation, etc.).

9. Limits of insurance. For each coverage, the limit as quoted and bound. General liability occurrence and aggregate, property values, auto liability CSL, umbrella limit.

10. Deductibles and retentions. Deductibles by coverage, any self-insured retention on liability lines.

11. Premium by coverage. Premium by line of business. Significant deviation from the quote premium indicates either underwriting changes or errors.

12. Rating classification and class code. The SIC or NAICS code, ISO class code (for property and GL), and the rating classification (for auto). Incorrect classifications affect premium and coverage scope.

13. Exposure bases. Payroll, sales, square footage, or other exposure bases used to rate the policy. Errors here create premium audits.

14. Additional coverage line summaries. Any secondary coverages noted on the dec page (medical expense, personal and advertising injury, fire damage, etc.).

Each item has a quick verification against the quote, binder, or application. Items that do not match should be flagged for correction before the client receives the policy.

The declaration page itself warrants the detailed review we cover in a separate declaration page review guide.

Section 2: Forms Schedule Review (11 Items)

The forms schedule (also called the forms and endorsements schedule or forms list) is a one-page summary of every form and endorsement on the policy. This is where the most common omissions hide.

15. Standard forms for the coverage line. Each line of business has standard base forms. CGL uses CG 00 01. Commercial property uses CP 00 10 or CP 00 17. Business auto uses CA 00 01. Workers compensation uses the state-specific WC form plus the NCCI Standard Form. Confirm each standard form is present.

16. State-specific amendatory endorsements. Most states require amendatory endorsements that modify the standard forms to comply with state law. These have specific form numbers (CG 01 49 for multiple states, CG 01 25 for some personal lines, CA 02 70 for auto).

17. Common policy conditions. Form IL 00 17 (Common Policy Conditions) appears on most commercial package policies. It governs cancellation, nonrenewal, inspections, and examination of books. The absence of IL 00 17 does not eliminate coverage but may create contract-interpretation issues.

18. Common policy declarations. IL 00 21 (Common Policy Declarations) appears on package policies to consolidate the shared dec information. Confirm it is present on package policies.

19. Additional insured endorsements. Every additional insured listed in the binder or quote should have a corresponding CG 20 xx form (for GL) or CA 20 xx form (for auto) on the policy. The forms schedule should list each.

20. Primary and non-contributory endorsement. CG 20 01 or equivalent. If the binder specified primary and non-contributory, verify the endorsement is on the policy.

21. Waiver of subrogation. CG 24 04 for GL, CA 04 44 for auto, WC 00 03 13 for workers compensation. Each line requires its own waiver form.

22. Blanket endorsements. If the account has blanket additional insured (CG 20 33, CG 20 37, CG 20 38), blanket waiver of subrogation, or blanket primary and non-contributory, confirm the forms are on the policy.

23. Coverage extensions. Any coverage extensions bound at quote should have corresponding endorsements. Inland marine extension forms, equipment breakdown, crime extensions, etc.

24. Scheduled property forms. CP 10 30 (Causes of Loss - Special Form) or CP 10 20 (Broad Form). Verify the correct cause of loss form is attached.

25. Business Income and Extra Expense. CP 00 30 for Business Income with Extra Expense, CP 00 32 for Business Income without Extra Expense. Limits and waiting periods (CP 15 08) should match the quote.

26. Inflation guard. CP 04 05 if the quote specified inflation guard on property. The percentage must match.

Missing forms represent missing coverage. A policy that shows CGL on the dec page but has no CG 00 01 base form is essentially uninsured on the line.

Section 3: Endorsements Review (15 Items)

Endorsements modify the standard forms. Each endorsement changes coverage in specific ways. A thorough review reads each endorsement and confirms its effect.

27. Business interruption waiting period. CP 15 08 modifications to the waiting period (typically 72 hours) should match quote specifications.

28. Ordinance or law coverage. CP 04 05 Ordinance or Law Coverage. Coverage amounts for Coverage A (undamaged portion), Coverage B (demolition), and Coverage C (increased cost of construction).

29. Cyber liability. Many commercial packages now include cyber liability endorsements. Common forms include ISO cyber extensions (CG 00 38 family) and carrier proprietary forms. Verify limits and definitions.

30. Employment Practices Liability (EPL). GL may include EPL via endorsement or reference to a separate policy. Confirm which.

31. Data breach coverage. ISO's CG 00 38 (Network Security and Privacy Liability) or carrier equivalent. Confirm coverage scope (first-party, third-party, or both).

32. Personal and advertising injury modifications. Any modifications to the CGL Coverage B scope.

33. Products-completed operations modifications. CG 24 26 (Amendment of Insured Contract Definition). This endorsement modifies the "insured contract" definition to include contractual liability for specific third-party claims. Commonly included but often not noticed in review.

34. Professional liability exclusions on CGL. CG 22 43 (Exclusion - Engineers, Architects or Surveyors Professional Liability) is the standard professional liability carve-out on CGL policies for professional accounts. Verify the exclusion matches the account classification.

35. Prior acts endorsements on claims-made policies. For claims-made E&O, D&O, and cyber policies, confirm the retroactive date and any prior acts provisions. A missing retroactive date creates a coverage gap.

36. Aggregate endorsements. Some policies have aggregate endorsements that modify the standard per-policy aggregate to a per-location or per-project aggregate. CG 25 03, CG 25 04, CG 25 06.

37. Blanket waiver of subrogation. CG 24 04 with the blanket trigger language, or carrier proprietary blanket form.

38. Contractual liability modifications. CG 24 26 (noted above) and CG 22 44 (Exclusion - Contractors - Professional Liability) are the two most commonly seen contractual liability modifications.

39. Crime coverage endorsements. Commercial crime policies have specific insuring agreements (employee theft, forgery, computer fraud, funds transfer fraud, money orders, etc.). Confirm each agreement is present if quoted.

40. Inland marine floater endorsements. For accounts with mobile equipment, accounts receivable, EDP equipment, etc., confirm the specific inland marine floaters are scheduled.

41. Workers compensation endorsements. Waiver of Our Right to Recover (WC 00 03 13), Voluntary Compensation (WC 00 03 11), and specific state-required endorsements. Also confirm alternate employer endorsements for PEO arrangements.

Each endorsement should be read. The reading takes 2 to 5 minutes per endorsement. For a package policy with 15 to 25 endorsements, the review takes 30 to 90 minutes.

Section 4: Exclusions Review (7 Items)

Exclusions are where coverage narrows. A thorough review identifies every exclusion and confirms it is acceptable to the insured.

42. Standard CGL exclusions. The baseline exclusions in CG 00 01 (employers liability, auto, pollution, etc.). Note which exclusions are modified by endorsement.

43. Carrier-specific additional exclusions. Each carrier adds its own exclusions. Review the forms schedule for any form starting with the carrier's prefix and containing "exclusion" in the form name.

44. Industry-specific exclusions. Construction accounts typically have specific exclusions (CG 22 79 Subsidence, CG 21 46 Abuse or Molestation). Review for relevant industry exclusions.

45. Newly added exclusions at renewal. Compare the current renewal to the prior year. Any exclusion present on the renewal but not on prior year should be flagged and discussed with the insured before binding.

46. Sublimit exclusions or limitations. Some policies have sublimits on specific coverages (e.g., $100,000 on jewelry, $50,000 on fine arts). Review for sublimits that are below the insured's exposure.

47. Pollution exclusions and modifications. CGL has a pollution exclusion by default. Many accounts need pollution coverage via Contractors Pollution Liability (CPL) or Environmental Impairment Liability (EIL) endorsement. Confirm pollution coverage matches the account's exposure.

Exclusions review is where agencies can add the most value. An informed broker who walks the insured through the exclusions at binding and at renewal prevents many common coverage surprises at claim time.

The Named Insured vs First Named Insured Distinction

On most commercial policies, the named insured list has a specific hierarchy. The first named insured (the name listed first on the declarations page) has three rights and obligations that the other named insureds do not have.

Authority to cancel the policy. The first named insured can cancel the policy without agreement from the other named insureds. ACORD 35 cancellation requests are legally effective only when signed by the first named insured.

Authority to receive notices. Cancellation notices, renewal notices, and other carrier communications go to the first named insured. The other named insureds do not receive separate notices unless specifically endorsed.

Duty to provide notice of claims. The first named insured has the primary obligation to notify the carrier of claims and lawsuits.

Receipt of premium refunds. Unearned premium on cancellation is paid to the first named insured.

This distinction matters in several common scenarios:

Husband and wife on a homeowners policy. The spouse listed first has authority the other does not.

Parent and subsidiary corporate structure. If the parent is listed first, the parent has cancellation authority and notice rights. The subsidiary does not.

Multiple business entities under one insured. If Acme Construction LLC and Acme Development LLC are both named insureds with Acme Construction listed first, Acme Construction controls the policy.

Agencies should confirm at binding that the first named insured designation aligns with the client's intent. A client's in-house counsel or corporate secretary may have a specific preference on which entity controls the policy.

Commonly Missed Endorsements

Three specific endorsements appear on many policies but are frequently overlooked during review.

IL 00 17 (Common Policy Conditions). This is a package-policy framework that governs cancellation, nonrenewal, conformity to statute, examination of books, and inspections. It applies across all coverage lines in a commercial package. Absence of IL 00 17 may mean the package is treating each line under its own conditions, which can create inconsistencies.

CG 24 26 (Amendment of Insured Contract Definition). This endorsement modifies the definition of "insured contract" in the CGL to specifically include certain types of agreements (lease of premises, sidetrack agreements, etc.). Many agencies read the GL exclusion language without reading this endorsement and misunderstand the contractual liability coverage scope.

CG 22 43 (Exclusion - Engineers, Architects or Surveyors Professional Liability). A carve-out that excludes professional liability exposures from the CGL. For professional accounts (engineering firms, architectural firms, surveying firms), this exclusion clarifies that the CGL does not cover professional errors. Agencies should confirm the account has a separate E&O policy and that the CG 22 43 wording matches the account's actual services.

Other commonly missed items: CG 02 09 (certain state amendatory), CG 04 13 (Limited Fungi or Bacteria Coverage), CP 04 30 (Vacancy Permit), and any carrier-specific "enhancement" endorsements that modify multiple coverages.

See also our coverage of the certificate of insurance match to policy endorsements and business owners policy review specifics.

Policy Review Workflow

A structured workflow accelerates the review process.

Step 1: Policy receipt. Log the policy into the AMS on the date received. This starts the review clock.

Step 2: Compare to binder. Place the policy next to the binder and walk through the 14 declarations items.

Step 3: Compare forms schedule to quote. Walk through the 11 forms schedule items, confirming each required form is present.

Step 4: Read each endorsement. Walk through the 15 endorsement items. Read every endorsement, not just the forms list.

Step 5: Identify exclusions. Walk through the 7 exclusion items. Compare to prior year for renewals.

Step 6: Document the review. Save the checklist in the AMS client file with any noted discrepancies and resolution status.

Step 7: Address discrepancies. Contact the carrier for corrections. Do not release the policy to the client until major discrepancies are resolved.

Step 8: Deliver to client with review notes. Send the policy to the client with a cover summary highlighting key coverages, any changes from the quote or prior year, and any important exclusions.

For a typical commercial package with 15 to 25 endorsements, the full review takes 60 to 90 minutes manually. Agencies reviewing 200 new and renewing policies per month spend 200 to 300 hours per month on policy review if done correctly.

Using BrokerageAudit for Policy Review

The Policy Checker reads the policy at the form-and-endorsement level, compares it to the binder and prior-year policy, and generates a review summary against a library of 2,400+ ISO and carrier proprietary forms.

The system flags missing forms (the most common error), wrong editions, newly added exclusions at renewal, and mismatches between the declarations and the forms schedule. It also checks the first named insured designation and verifies that the policy's contractual liability treatment matches the insured's contracts.

For agencies reviewing 200+ policies per month, the Policy Checker reduces average review time from 75 minutes to 8 minutes per policy while catching approximately 2.5x more discrepancies.

See also our evidence of insurance guide and the agency E&O prevention framework for related workflows.

Frequently Asked Questions

What is a policy review checklist?

A policy review checklist is the structured procedure an insurance agency uses to confirm that a newly issued, renewed, or amended policy actually matches the coverage that was quoted, bound, and communicated to the client. A thorough checklist covers four policy sections: declarations (14 items), forms schedule (11 items), endorsements (15 items), and exclusions (7 items), for 47 total verification steps. The checklist catches missing forms, wrong editions, newly added exclusions at renewal, and mismatches between what was promised and what was delivered.

How often should agencies review insurance policies?

Three triggers require policy review: at binding (within 5 business days of policy receipt from the carrier), at renewal (within 15 business days of the renewal effective date), and at any mid-term endorsement. Binding review catches errors before the client's copy is sent. Renewal review catches carrier changes at renewal (new exclusions, modified limits, eliminated endorsements). Mid-term endorsement review confirms the endorsement achieved the intended change. Some agencies also conduct annual coverage audits on the largest accounts regardless of renewal timing.

What are the most commonly missed items in a policy review?

Three items appear most often in E&O claims traceable to review failures: (1) missing additional insured endorsements where the binder required CG 20 10 or CG 20 37 but the policy was issued without it; (2) wrong edition dates on additional insured forms where the contract required the 2001 edition but the carrier issued the 2013 edition; and (3) newly added exclusions at renewal (pollution exclusions, cyber exclusions, abuse or molestation exclusions) where the agency did not compare the renewal to the prior year. Commonly missed specific endorsements include IL 00 17, CG 24 26, and CG 22 43.

Who should perform the policy review at an agency?

Responsibility varies by agency structure. In smaller agencies, the account executive (AE) or producer performs the review. In mid-size and larger agencies, a designated service team member (CSR or account manager) performs the initial review with escalation to the producer on discrepancies. Some agencies use dedicated coverage review specialists for accounts above premium thresholds. Regardless of who performs the review, the producer remains responsible for the result under standard-of-care law. An agency should document who performed each review and when.

How long does a policy review take?

For a monoline policy (single coverage line), review takes 15 to 30 minutes. For a standard commercial package with 15 to 25 endorsements, review takes 60 to 90 minutes manually. For complex accounts with multiple locations, extensive schedules, and specialized coverages, review can take 2 to 4 hours. Automated tools like BrokerageAudit's Policy Checker reduce review time to 5 to 15 minutes per policy while catching approximately 2.5 times more discrepancies than manual review alone.

What tools automate insurance policy review?

Four categories of tools: AMS-integrated review modules (Applied Epic, Vertafore AMS360, HawkSoft, EZLynx) which provide checklist templates but limited automation, document comparison tools (Worldox, iManage) which compare current to prior policy as PDFs, specialized policy review platforms like BrokerageAudit's Policy Checker which reads the policy at the form-and-endorsement level and compares against a library of ISO and carrier forms, and carrier-side review portals (Hartford's producer portal, Travelers' agent services) which allow agents to verify the forms on a specific policy. For agencies reviewing 100+ policies per month, specialized automation pays for itself in E&O prevention alone.

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Written by Javier Sanz, Founder of BrokerageAudit. Last updated April 2026.

Catch missing endorsements and wrong editions before the policy reaches your client. BrokerageAudit's Policy Checker reads every policy at the form-and-endorsement level, compares to the binder and prior-year policy, and flags discrepancies against a library of 2,400+ ISO and carrier forms. Explore Policy Checker