Is a certificate of insurance the same as an insurance policy?

No. A COI is a one page summary of the policies that are in force. It is evidence of coverage, not the coverage itself. The actual policy, including its exclusions and endorsements, is what determines how a claim is paid. Always treat the certificate as a snapshot and the policy as the source of truth.

What is the difference between a certificate holder and an additional insured?

A certificate holder only receives the document and has no coverage rights. An additional insured has actual rights under the policy, added through a specific endorsement. A certificate that names someone as additional insured means nothing unless the underlying policy is actually endorsed to grant that status.

How much does a certificate of insurance cost?

The certificate itself is free. Your broker or agent issues it at no charge because it summarizes coverage you already purchased. The cost lies in the underlying policies and in any endorsements a contract requires, such as additional insured status or a waiver of subrogation, some of which carry additional premium.

Who can issue a certificate of insurance?

An insurance broker or agent issues certificates on behalf of the carrier. You request a certificate from whoever manages your policy, and they generate the ACORD 25 for the certificate holder you name. A responsive agent can usually turn one around quickly, which is why the relationship matters.

How do I get a certificate of insurance?

To get a COI, contact the broker or agent who manages your policy and tell them who needs to be listed as the certificate holder, along with any additional insured or limit requirements from your contract. They generate the ACORD 25 and send it to the party you name, often the same business day. There is no separate charge for the document itself.

How long is a certificate of insurance valid?

A certificate reflects coverage only as of its issue date. The policies it lists have their own effective and expiration dates, but the coverage can be canceled or changed at any time. That is why the certificate confers no rights and why verifying that coverage is still active matters for high value work.

Does a certificate of insurance guarantee that coverage is in place?

No. A certificate is issued as a matter of information only and confers no rights upon the certificate holder. Coverage can lapse or be altered after the certificate is issued. To rely on another party's insurance with confidence, confirm the policy is active and request the actual endorsements.

What is an ACORD 25 form?

The ACORD 25 is the standardized "Certificate of Liability Insurance" used across the insurance industry. It summarizes liability coverages such as general liability, auto liability, umbrella or excess, and workers' compensation, along with limits and dates. It is the most common certificate form business owners will send and receive.

What should I do if a contract requires coverage I do not have?

Send the contract to your broker before you sign it. Insurance requirements are often copied from outdated templates and may not match your policy. Your broker can confirm whether you can meet the requirements, what endorsements are needed, and what any changes will cost, so you avoid costly surprises after signing.

General Business Insurance

General business insurance forms the foundation every company needs to protect against property damage, liability claims, business interruption, and employee-related risks. This category covers general liability, commercial property, BOP policies, and umbrella coverage. Articles explain how these general business insurance policies work together and where the gaps most often leave businesses underinsured.