Flow-Down Provision
A contract term requiring you to pass your client's requirements, often including insurance requirements, down to your own consultants or subcontractors.
What it means for your firm
If your client requires certain limits and coverage from you, a flow-down clause usually requires similar coverage from the people you hire.
Check that your consultant agreements actually include the flowed-down requirements, and collect certificates before work starts.
General definition for education only. It is not an interpretation of any policy or contract, and it is not legal advice. The wording of your own policy and contract controls. Policies and definitions vary by insurance company.
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