About Certificate of Insurance
A document issued by an insurance company/broker that is used to verify the existence of insurance coverage under specific conditions granted to listed individuals. More specifically, the document lists the effective date of the policy, the type of insurance coverage purchased, and the types and dollar amount of applicable liability.
A certificate of insurance is often demanded in situations where liability and large losses are a concern. For example, a condo owners association wishes to hire a roofing contractor. The association will most likely ask the contractor to show them a certificate of insurance that proves that certain liabilities will be covered by insurance in the event the installation causes problems, such as incurring water damages from remodeling association owned building’s roof.
Note, that only an additional insured endorsement can create additional insured rights under the policy. Learn more about additional insured endorsements