Requesting Insurance Certificates: A Guide

A certificate of insurance (COI) is a document that proves a business has the right insurance coverage. It includes key details such as the policyholder's name, the policy's effective dates, the type of coverage, and any policy limits. This document is often requested by clients or partners to ensure they are protected from financial losses in the event of liability issues. It also helps businesses secure clients, as it demonstrates that the business owner has insurance and can be trusted to carry out work without causing the client to assume any risk.

When to request a certificate of insurance

A certificate of insurance (COI) is a document issued by an insurance company or broker that verifies the existence of an insurance policy. It is a summary of the insurance policy, outlining key aspects such as the policyholder's name, effective and expiration dates, type of coverage, limits, and carrier.

Now, when should you request a COI? Well, it is standard practice to request a COI from any contractor or third-party service provider before they start working with you. This is to ensure that they have adequate insurance coverage to protect against potential risks and liabilities. Here are some specific scenarios where requesting a COI is essential:

• When entering into a new contract or work agreement with another company: Before signing any contracts, make sure to obtain a COI from the other party to verify their insurance coverage.
• When hiring a new subcontractor: If you are hiring a subcontractor, ask for their COI to ensure they have the necessary insurance in case of any incidents or claims.
• When working with suppliers, vendors, or other third parties: Any business relationship with external parties should be backed by a COI to confirm their insurance status.
• When organizing an event: If you are allowing others to use your property for an event, make sure they have the appropriate insurance coverage by requesting a COI.
• When renting or leasing equipment or vehicles: As a business, if you are renting or leasing any equipment or vehicles, you will need to provide a COI to the owner or landlord.
• When taking out a line of credit: Lenders or financial institutions may require a COI as proof of insurance coverage before providing a loan or financing.
• When working on government contracts: In some cases, certificates of insurance may be mandatory to obtain permits or comply with regulatory requirements.

Remember, it is crucial to review the COI carefully to ensure that the coverage meets your requirements. Don't hesitate to request a COI, as it is a standard practice and usually provided free of charge by the insurance company.

Who to request it from

A certificate of insurance (COI) is a document that provides proof of insurance. It is issued by an insurance company or broker and verifies the existence of an insurance policy. It is important to know who to request a COI from to ensure you are getting accurate and legitimate information.

If you are a business owner or contractor, you can request a COI from your insurance provider, carrier, agent, or commercial broker. They will be able to provide you with a copy of your COI, which you can then share with your clients or partners. It is a good idea to keep a COI on hand to demonstrate professionalism and establish trust with your clients.

If you are a client or an individual hiring a contractor or business, you should request the COI directly from the insurance company rather than the business owner or contractor. This is to ensure that you are receiving accurate and up-to-date information about their insurance coverage. You can contact the insurance company directly and ask for the COI to be sent to you. Make sure to confirm that the name of the insured on the certificate matches the company or contractor you are considering.

Additionally, if you are covered by insurance through your employer, you may need to contact your Human Resources department or the insurance company directly to request a copy of your COI. This is specific to health insurance and will provide you with an explanation of how your insurance plan works, including detailed information about the benefits covered.

It is important to remember that a COI is not an insurance contract, but it provides a summary of the key aspects and conditions of the policy. It includes information such as the policyholder's name, policy effective dates, coverage types, and contact information for the insurance company. By requesting and reviewing a COI, you can ensure that the business or contractor you are working with has the appropriate insurance coverage and protect yourself from any potential risks or liabilities.

What to include in the request

When requesting a Certificate of Insurance (COI), it is important to include specific details in your request to ensure that you receive the correct documentation. Here is a list of what to include when making your request:

Policy Details

Firstly, you should specify the type of insurance policy for which you require a certificate. This could be health insurance, disability insurance, life insurance, auto liability insurance, or workers' compensation insurance, to name a few. Outline the specific coverage, limits, and effective dates of the policy in question.

Insured Person or Entity

Clearly state the name of the insured person or entity that the policy covers. This is typically the policyholder or named insured on the policy.

Insurance Provider

Provide the name and address of the insurance company, broker, or agent from whom the COI is being requested. This is usually the insurance company that issued the original policy.

Certificate Purpose

Explain the reason for your request. Are you bidding for a project or contract that requires insurance? Do you need to verify your business's insurance coverage to meet certain requirements? Are you looking to add an additional insured to the policy? Providing context for your request can help ensure that you receive the correct COI.

Certificate Delivery

Specify how you would like to receive the COI. Do you require a paper copy, or is an electronic copy, such as a PDF, acceptable? Also, include any time constraints or deadlines by which you need to receive the COI.

Additional Information

Depending on your specific circumstances, you may need to include other relevant details. For example, if your request concerns a contract with another party, you may need to provide their name and specify their role, such as a certificate holder or additional insured. Additionally, if there are any unique requirements or wording that needs to be included on the COI, be sure to mention this in your request.

How to validate the certificate

To validate a Certificate of Insurance, you must check that it is up-to-date and that the third party in question is covered by the certificate. Certificates of Insurance are only valid on the day they are issued, so it is important to periodically confirm that each policy is active and at the levels required by your contract.

To do this, you can communicate directly with the third party's insurance agent to confirm the information on the certificate. You can also notify your vendors that you are auditing their insurance policies, which may prompt them to pay their premiums and ensure continuous coverage. It is also important to check the specific policy to confirm that all individuals are covered. Just because someone is affiliated with the third party, does not necessarily mean they are covered by the policy.

To validate a Certificate of Insurance online, you can enter the Policy Number and Certificate Number shown on the certificate and click "Validate Certificate".

It is important to be proactive in validating Certificates of Insurance to ensure that your business is protected from risk and liability.

What to do if the certificate needs changing

If you need to make changes to your certificate of insurance, you must first establish what coverages and limits you need. If the company you are working with requires higher limits than what you already have, obtaining your insurance liability certificate may take longer as you wait for your coverages to be adjusted.

Next, confirm the coverage limits with your provider. If you need to increase your limits, you can adjust the policy or purchase a rider to cover the duration of the contract. Your insurance agent can help with this process.

After making any necessary changes, request the certificate of insurance. This requires filing the paperwork to adjust your coverage, submitting payment, and requesting the certificate that lists the appropriate limits.

Finally, give the certificate to your client. Some companies will require a paper copy to keep on file, while others will be satisfied with an emailed PDF.

Frequently asked questions