If the incorrect name is listed on the insurance policy, there may not be coverage. Although this seems like an overstatement (or even a “duh!” statement), it’s not. Remember, an insurance policy is a legal contract between two named entities, the named insured and the insurance carrier.
Then one entity is listed incorrectly or improperly, there is no contract. Although the carrier may consider intent and reform the contract, no agent should depend upon such action. List the entity type exactly as it is listed with the secretary of state or in any other legal documents. If the insured is listed multiple ways in various documents, go with the secretary of state; all the other documents should be corrected by the insured. Never use an improper or non-existent name just to satisfy a contract.
Independent Agents published an article called Insured Status is VERY Complicated – Until you understand it, it can be found on this link http://www.independentagent.com/Education/VU/Insurance/Commercial-Lines/Miscellaneous/BoggsInsuredStatus.aspx.