Which individual is primarily responsible for paying premiums in a commercial insurance policy?

In a commercial insurance policy, the named insured is the individual or entity specifically identified in the policy as the one entitled to coverage. This individual or business bears the primary responsibility for paying the premiums associated with the policy. The named insured typically has the authority to make changes to the policy, file claims, and manage other aspects of the insurance contract.

Understanding this role is crucial because it clarifies who is financially responsible for maintaining insurance coverage. While other parties may be involved in the insurance process—such as additional insured parties who enjoy coverage benefits, mortgagees who may have a vested interest in the property being insured, and insurers who provide the coverage—the financial obligation to pay premiums lies solely with the named insured. This ensures that the named insured has the incentive to manage the policy effectively and maintain active coverage for their interests.