Certificate of Insurance
A certificate of insurance, also called COI, verifies your business insurance coverage. It shows the type of coverage, the limits, and the period it is in effect. It reassures property owners that if any contractor’s workers get injured while at their property, they are covered, and it will not end up costing them.
Cost of a Certificate of Insurance
The certificate is free, and insurance companies and brokers provide it.
Why do Customers want to see the Certificate?
A certificate of insurance is important because the client can be held responsible for a contractor’s work. It shows the client that the contractor is covered by insurance. In turn, they are protected in property damage, claims of bodily harm, and negligence depending on the insurance policy.
Who should ask for the Certificate?
Many companies require proof of the certificate before signing any contract. Also, as a business owner, you should check the insurance certificate before subcontracting any work. As the business owner, the COI ensures that you do not take the blame for damage caused by a subcontractor get sued for injuries sustained by the workers. It also protects you against incomplete or shoddy work
What to know about the Certificate of Insurance
The validity of the certificate is important for the period. You should be able to verify the document to make sure it is not a forgery. Some of the things to look for include
- Proper dates – ensure the certificate does not expire while the job is ongoing.
- The company name should match the name on the certificate
- The certificate should show the coverage and limitations
How long does it take to get a COI?
Getting the certificate is instant, and once a request is placed, it is sent to you.