Certificate of insurance (COI): What it is and how to get one
Written byDia Adams
Reviewed by Robin Saks Frankel
Summary
- Your insurance company or agent issues a certificate of insurance, usually when a client, landlord, or general contractor asks you to prove you have coverage.
- It’s a snapshot of your policy — not the policy itself. The certificate lists basics like the insurer, coverage limits, and expiration date, but it does not change what your insurance covers.
- A certificate holder gets the paperwork. An additional insured gets protection under your policy only when the insurer adds them through an endorsement.
- If the contract asks for coverage you do not have, do not change the certificate. Ask your agent what it would take to add the coverage, increase the limit, or provide the required endorsement.
What is a certificate of insurance?
A certificate of insurance, often called a COI, is a document from your insurance company or agent that shows you have active business coverage. It typically lists the policy types, coverage limits, policy numbers, effective dates, expiration dates, and insurer.
A certificate is not the policy itself, but provides an overview — the policy and any endorsements determine what is covered. Think of it as proof you can send when someone asks if you have insurance. A client may request one before signing a contract. A landlord may want one before handing over the keys. General contractors commonly collect them from subcontractors before work starts.
For liability coverage, the form you will most often run into is the ACORD 25 Certificate of Liability Insurance. ACORD (Association for Cooperative Operations Research and Development) is the non-profit group that provides standards in the insurance industry.
The ACORD 25 is a standard format used to summarize liability insurance details, making it easier for a client, landlord, or contractor to review what coverage a business carries.
You may need a COI if you are:
- A contractor or subcontractor starting work on a job site
- A vendor or supplier onboarding with a larger company
- A commercial tenant leasing office, retail, or warehouse space
- A consultant whose client contract requires proof of insurance
- A business owner applying for a permit or renewing a license
What a certificate of insurance shows
Most liability certificates use the ACORD 25 layout. It looks busy at first, but the form is mainly a quick way to confirm who is insured, what coverage they carry, how much coverage is available, and when the policy expires.
Section | What it tells you |
Producer | The insurance agent, broker, or agency that issued the certificate. |
Insured | The business or person covered by the listed policies. Make sure the name matches the legal name in your contract—not a DBA, employee name, or related company. |
Insurers A–F and NAIC numbers | The insurance companies behind the listed policies. A business may have more than one insurer. The NAIC number is the insurer’s identification number. |
Coverages | The types of insurance shown on the certificate. You may see general liability, commercial auto, umbrella or excess liability, workers’ compensation and employers liability, plus other coverage. |
Policy number and dates | The policy number, effective date, and expiration date for each type of coverage. A current policy date matters as much as the coverage limit. |
Limits* | The maximum amounts available under the policy, subject to its terms. The form may list each-occurrence, general aggregate, products-completed operations aggregate, damage-to-rented-premises, medical-expense, and personal-and-advertising-injury limits. |
Description of operations | Space for job-specific details, a project address, contract wording, or a note about additional-insured status. If a contract requires an endorsement, the certificate alone may not be enough. |
Certificate holder | The person or business receiving the certificate. Listing a client or landlord here does not make them an additional insured. |
Cancellation | Standard language about what happens if a policy is canceled. Do not assume it guarantees advance notice to the certificate holder. |
Authorized representative | The signature or authorization from the insurer or producer. ACORD recommends that an authorized representative sign an ACORD certificate. |
*When you review limits, look at both numbers. The each-occurrence limit is generally the most the policy will pay for one covered claim. The aggregate is generally the most the policy will pay for covered claims during the policy period.
Certificate holder vs additional insured
A certificate holder gets the certificate. That’s it.
Say a general contractor asks for your COI before you start work. The general contractor is the certificate holder. The certificate shows that you have insurance, but it does not put the general contractor on your policy.
An additional insured is actually added to the policy through an endorsement. That can give the landlord, client, or contractor protection under your liability policy if a covered claim relates to your work.
That’s why the wording in the contract matters. If a client wants to be protected by your policy, naming them as the certificate holder will not do the job. Your insurer or agent needs to add the client as an additional insured, if your policy allows it.
A COI may reference additional-insured status in the Description of Operations box. But an additional-insured endorsement is the document that adds coverage under the policy. Keep the endorsement with the contract instead of relying on the certificate alone.
You may also run into these requests:
- Waiver of subrogation: Your insurer gives up its right to pursue the other party for repayment after paying a covered claim.
- Primary and noncontributory: Your policy pays first for a covered claim involving the additional insured, rather than looking to that party’s insurance to share the cost. This may be required when a client or landlord is added as an additional insured.
Ask your agent to review the insurance requirements before you agree to them. It is much easier to sort out an endorsement before a contract is signed than after a client says your COI is missing something.
When do you need a certificate of insurance?
You may not think about a certificate of insurance until somebody puts it on a checklist and says they need it before you can start.
A client might ask for one before signing your contract. A landlord may request it before you move into commercial space. If you work for a general contractor, expect to send one before you get access to the job site.
You may also need a COI when you:
- Apply to become a vendor for a larger company
- Pull a permit or renew a license
- Bring a team onto someone else’s property
- Set up an event at a venue that requires proof of coverage
The request may be more than “send us your COI.” Read the insurance section of the contract. It may ask for general liability limits, workers’ compensation coverage, commercial auto coverage, or an additional-insured endorsement. If you do not already have what the contract requires, the certificate will not fix that.
An LLC does not take the place of insurance. It may help separate your personal and business liabilities, but it does not pay a claim, meet a landlord’s insurance requirements, or give you a certificate to send to a client. You need an active policy before an insurer or agent can issue a COI. Learn more about what LLC insurance does and does not cover.
How to get a certificate of insurance
Start with your insurance company or agent. Tell them who needs the certificate and send over the insurance requirements from the contract. If you already have the right coverage, this is usually a quick request. Some insurers let you request a COI online, and some can turn around a standard request the same day.
Before you ask, get the details right:
- Get the certificate holder’s full legal name and mailing address. “ABC Construction” may not cut it if the contract says “ABC Construction Services, LLC.”
- Read the insurance requirements in the contract. Look for coverage types, minimum limits, and any request for additional-insured status, a waiver of subrogation, or primary-and-noncontributory wording.
- Request the certificate from your insurer or agent. Some carriers have a self-service portal that lets policyholders request certificates online.
- Read the certificate before you send it. Check the business name, certificate holder, policy dates, limits, and any project wording. A typo can send you back to the beginning.
- Put the expiration date on your calendar. If the contract lasts longer than the policy term, the client or landlord will likely ask for a new COI after renewal.
The slow part is rarely the certificate itself. The hold-up usually comes when a contract calls for coverage, limits, or an endorsement you do not have. Your agent can tell you whether it is available, what it costs, and how long it will take to add.
If you are still shopping for coverage, start with these business insurance mistakes to avoid.
How much does a certificate of insurance cost?
Nothing. Your insurer or agent should issue a certificate of insurance at no extra charge because it is simply proof of the coverage you already pay for.
The policy is where the cost comes in. If a client asks for higher limits, a coverage type you do not carry, or special contract wording, you may need to update your policy before your agent can issue the COI.
Adding a client or landlord as an additional insured can also cost extra. Some policies include blanket additional-insured coverage, while others require a separate endorsement and a fee. The price depends on the insurer, policy, and what the contract requires, so ask before you promise it.
Can you make your own certificate of insurance?
No. A certificate of insurance has to come from your insurance company or insurance agent. You cannot make one yourself, and you should not change one after it has been issued.
That includes “small” edits, such as changing a policy expiration date, increasing a coverage limit, or adding a client as an additional insured. A COI is proof of the policy you have at the time the certificate was issued.
If a contract asks for coverage you do not carry, call your agent. If you are collecting COIs from vendors or subcontractors, a quick review can save you a headache later. Check that:
- The producer listed on the form is a real licensed insurance agent or broker. If something looks off, call the agency using a phone number you find independently.
- The insured name matches the business you hired.
- The insurance company and NAIC number match the policy information shown.
- The effective and expiration dates are current.
- The coverage types and limits match the contract.
- The document does not show signs of editing, including changed dates, limits, or business names.
A certificate is helpful, but it is a snapshot, not a policy. If the contract requires additional-insured status, a waiver of subrogation, or other endorsements, ask for the policy documents that back up the certificate.
Requesting a certificate of insurance from vendors and contractors
If you hire a contractor or vendor, ask for a certificate of insurance before they start work. It is one of those unglamorous admin tasks that matters a lot more after something goes wrong.
The contract should spell out the coverage you want to see. That may include general liability, workers’ compensation, commercial auto, or professional liability insurance. The right mix depends on the work. A web designer is not taking on the same risk as a contractor bringing a crew and equipment onto your property.
Also check whether the contract asks for:
- Your business to be named as a certificate holder
- Specific liability limits
- Additional-insured status
- A waiver of subrogation
- Primary-and-noncontributory wording
Do not stop at the COI if the contract requires additional-insured status. Ask for the endorsement, too. The certificate may say the vendor has insurance, but the endorsement is what adds your business to that policy.
Finally, track the expiration date. A certificate can be current when a project starts but expire before the work is finished. Save the COI and endorsement with the contract, then set a reminder to ask for updated proof of coverage before the policy expires.
For a larger contract, have your insurance agent look over the requirements before you sign. It is easier to sort out a missing endorsement up front than to chase paperwork after the work has already started.
Common certificate of insurance mistakes
A COI can look like a straightforward form, but small errors can delay a contract, a lease, or a job. Check these details before you send it.
- Sending an expired certificate. The policy dates need to cover the work or lease term. If the policy renews during the project, expect to send an updated COI.
- Using the wrong certificate holder name. Copy the legal name and address from the contract. “Acme Construction” may not be enough if the agreement names “Acme Construction Group, LLC.”
- Treating a certificate holder as an additional insured. The certificate holder gets proof of coverage. If the contract requires additional-insured status, you need the endorsement from the insurer.
- Missing the required limits. A $1 million general liability policy may sound substantial, but it will not meet a contract that requires higher limits or separate types of coverage.
- Leaving out required wording. The contract may call for a project address, job name, waiver of subrogation, or other language in the Description of Operations box. Read the requirements before your agent issues the certificate.
- Treating the COI like the policy. A certificate is a summary. It does not change coverage, add an endorsement, or settle a disagreement over what the policy covers.
Take two minutes to compare the COI with the contract before you send it. It’s a lot easier to fix things before the anvils start dropping.
The bottom line
A certificate of insurance is the paperwork that can keep a contract, commercial lease, or vendor setup moving. If you already have the coverage the other party requires, getting a COI is usually free and quick.
The bigger question is whether the policy behind it does what your business needs. If you are missing coverage, limits, or an endorsement, compare business insurance options through Nav.
Insurance is one part of the paperwork that can come up when you work with clients, landlords, vendors, or lenders. Your business credit scores can matter, too — especially when you are looking for financing or trying to qualify for vendor terms. Nav is not a lender or a credit bureau. Credit information is provided by third-party sources.