CG 24 04: Waiver of Subrogation Endorsement Explained

CG 24 04 is a general liability waiver of subrogation endorsement. After the insurer pays a covered claim, the endorsement limits its ability to recover that payment from the person or organization protected by the schedule. It does not add that party as an insured or make the policy primary and noncontributory.

Those are three different contract requirements. A contractor may need separate endorsements for additional insured status, payment priority, and waiver of recovery rights.

What does CG 24 04 do?

Subrogation lets an insurer pursue a third party responsible for a loss after the insurer has paid. The National Association of Insurance Commissioners describes it as the insurer's legal right to bring a liability action and seek reimbursement from the responsible third party.^[1] CG 24 04 waives that recovery right against the person or organization identified by its schedule, subject to the form's conditions.

The endorsement does not expand which injuries or damage the policy covers. The insurer must first make a payment under the applicable coverage part. Limits, exclusions, deductibles, and every other condition still apply.

What changed in the 12 19 edition?

The 12 19 edition applies across a wider list of liability coverage parts and expressly ties the insurer's waiver to the insured having waived its own recovery right before the loss. A liability policy published in a City of Sacramento public record shows that sequence and limits the protection to the scheduled person or organization.^[2] California's insurance regulator separately recorded ISO's approval for CG 24 04 12 19 under its waiver-of-recovery title.^[3]

The schedule can name a specific party or use qualifying blanket wording. Do not assume the words waiver of subrogation on a certificate resolve who qualifies. Read the actual schedule and the edition attached.

How is it different from other contract endorsements?

CG 24 04 protects against a later recovery action. CG 20 10 or CG 20 37 may grant additional insured status, while CG 20 01 can make existing additional insured coverage primary and noncontributory. None performs the same job as the waiver.

Government construction requirements commonly list these items separately. The City of Dyersville requires CG 24 04 05 09 for waived recovery rights while separately naming additional insured forms and primary wording.^[4] Match each contract requirement to the corresponding policy provision before work begins.

This guide is for educational purposes and summarizes standard ISO policy language in original words. Menlo Insurance Services is not affiliated with Insurance Services Office, Inc. Your policy's specific terms, conditions, and endorsements control. Talk to a licensed broker about your actual exposures.

The Bottom Line

CG 24 04 waives an insurer's recovery rights against a qualifying protected party after a covered payment. Review the edition and schedule, and do not use it as a substitute for additional insured or primary and noncontributory endorsements.