Q: Is it acceptable to abbreviate an insured's name on the policy?

Response 1: A policy is a legal contract between the named insured and the insurance carrier. Avoid abbreviation.

Response 2: The insured's name should never be abbreviated. Always use their actual, legal name. I have seen claims denied over this very issue, where lengthy litigation ensued to compel the insurance company to accept liability based on intent. I even once insured a trucking company that faced the same issue with its Federal Motor Carrier Safety Administration filings.

Response 3: Never abbreviate a named insured's name. 

Response 4: The policy should reflect the insured’s correct legal name. Unfortunately, insurers are sometimes forced to abbreviate because the computer field is not large enough to insert the full name. Then, at a time of loss, some lawyers argue about wrong names even though the agent and the policyholder had no choice about how the policy was issued. If the name must be abbreviated on the declarations page, try requesting an endorsement to correctly state the names. Some insurers will provide that; some won’t.

Response 5: Never use a name that is different from the entity's legal name.

Response 6: Properly listing the insured's name is important for avoiding confusion. If the named insured is “ABC, Inc.” it should be listed that way—not “ABC” or “ABC Corp.”

Response 7: Insurance policies are legal contracts, so the full legal names of all parties should appear on them. Using an abbreviated version of a name is just asking for trouble. What purpose would be that practice serve anyway?

Response 8: This could cause a problem. If your insured is “General Motors Corporation” and you abbreviate it to a non-entity, “GMC,” the insured may wind up with no coverage because the insurer was deceived as to whom or what it is insuring.

Response 9: To avoid confusion between all parties, fully write out the first named insured so that you don’t run into questions concerning responsibility in the event of a claim.

Response 10: Don't ever do it.

Response 11: Good question for a lawyer. “Abbreviation” could mean a lot of things. “William Arthur Smith” is a slam dunk. “Wil. A. Smith” is also OK. “W. Smith” isn't too clear, especially with such a common name. To avoid the problem, don't abbreviate. Use the full name as it appears on the deed or title.

Response 12: I assume this is a commercial policy. The short answer: Don't do it. List the entire legal name of the organization.

Response 13: I'm not sure what "abbreviating an insured's name" means. For example, my dad's name was John, but he went by Jack. He used John on all legal documents—including insurance policies. Words are important, especially in our business. Bottom line: I want the name of the named insured to be identical to the name on the pertinent legal document or the legal name of the business entity. Why would you want to "abbreviate" this?

Response 14: An insured's name on an insurance contract should be exactly the same—down to capitalizations and punctuation—as the business name filed with the Secretary of State for the entity's domicile.

Response 15: Not smart! Names are not abbreviated on birth certificates, marriage licenses or death certificates. In many instances, it could cause a problem. There is no reason to do it. The policy itself could end up pages shorter if abbreviations were allowed.

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