A certificate of insurance (COI) is a one-page summary document — almost always issued on ACORD Form 25 — that proves a business or individual carries active insurance coverage. It lists policy types, coverage limits, named insured, insurer, and policy periods. It is evidence of insurance, not the policy itself.
Who this is for: Any contractor, vendor, tenant, or service provider who has been asked by a client, landlord, or general contractor to "send a certificate" before work begins or a lease is signed.
TL;DR — Key Takeaways
- A COI is proof of coverage, not a policy; it cannot expand or alter the underlying policy's terms.
- The certificate holder has no direct rights to make a claim and is not automatically entitled to cancellation notice — only an additional insured endorsement grants coverage rights.
- Most COIs are issued on ACORD 25 (liability) or ACORD 28 (commercial property) forms, free of charge, usually within hours by your broker.
- Requesting parties can and do verify COIs directly with the insurer; fraudulent or altered COIs expose the issuer to criminal liability.
- Requirements vary by contract, trade, and state — always review the exact language in your contract before requesting a COI.
What Is a Certificate of Insurance — and What Is It Not?
A certificate of insurance is a standardized summary document prepared by an insurance agent or insurer. Its only legal function is to attest that a policy exists as of the date of issuance. The most widely used form is ACORD 25, issued by the Association for Cooperative Operations Research and Development (ACORD), which sets the data-exchange standards used by most US carriers and agents.
What a COI does: - Confirms the named insured, policy number, insurer, effective/expiration dates, and per-occurrence and aggregate limits. - Reflects the policy's cancellation terms, though the certificate itself does not obligate the insurer to notify the certificate holder unless the policy is endorsed to do so. - Satisfies a contractual "proof of insurance" requirement.
What a COI does NOT do: - Grant coverage rights to the certificate holder (that requires an endorsement). - Override, expand, or waive any policy exclusion. - Serve as a substitute for actually reading the policy. - Remain valid if the underlying policy lapses — it becomes void automatically when the policy cancels.
Certificate Holder vs. Additional Insured: A Critical Distinction
This is the most common point of confusion in commercial insurance — and the most legally consequential.
| Feature | Certificate Holder | Additional Insured |
|---|---|---|
| Listed on COI? | Yes | Yes (if endorsed) |
| Receives cancellation notice? | Not automatically (only if policy endorsed) | Not automatically (only if policy endorsed) |
| Can file a claim under the policy? | No | Yes |
| Coverage for their own negligence? | No | Typically yes, up to policy limits |
| Requires policy endorsement? | No | Yes — always |
| Common form used | ACORD 25 / 28 | CG 20 10 / CG 20 37 (ISO) |
A general contractor who requires a subcontractor to name them as an additional insured needs an actual endorsement attached to the sub's policy. Merely typing their name in the "certificate holder" box provides no coverage. This distinction is non-negotiable and a frequent source of coverage disputes after losses.
Similarly, a waiver of subrogation must be endorsed onto the policy — it cannot be granted by a note on the COI alone.
What Information Appears on a COI (ACORD 25)?
A standard ACORD 25 contains:
- Producer: The agency (e.g., Morrow / Afthonea Inc) that issued the certificate.
- Named Insured: The business or individual that purchased the policy.
- Insurer(s): The carrier(s) underwriting each coverage line, including NAIC numbers.
- Coverage lines: Typically Commercial General Liability (CGL), Auto, Workers Compensation/Employers Liability, and Umbrella/Excess.
- Policy numbers and effective dates for each line.
- Limits: Per-occurrence, general aggregate, products-completed operations aggregate, personal/advertising injury, medical payments, and auto liability limits.
- Description of Operations / Locations / Vehicles: Where additional insured status, waiver of subrogation, or project-specific details are noted.
- Certificate Holder: Name and address of the party requesting the certificate.
- Cancellation clause: Standard notice language.
- Authorized representative signature.
How to Get a Certificate of Insurance in 5 Steps
- Identify what's required. Read the contract clause carefully. Note: required coverage types, minimum limits, whether AI status or waiver of subrogation is needed, and whether a specific entity must be named.
- Contact your broker. Send your broker the certificate holder's exact legal name and address plus any special requirements from the contract (project name, AI endorsement form, etc.).
- Broker confirms coverage. Your broker checks that your current policy meets the requested limits and requirements. If gaps exist (e.g., your per-occurrence limit is $1M but the contract requires $2M), now is the time to adjust — not after a claim.
- Certificate is issued. The broker generates the COI from the agency management system and emails it, typically within a few hours. For complex projects with manuscript endorsements, allow 1-3 business days.
- Verify and deliver. Confirm the certificate reflects the correct holder name, limits, and any endorsements. Deliver to the requesting party and retain a copy with your contract file.
Typical Coverage Limits Shown on a COI by Trade
The limits a requesting party requires — and what's standard in the market — vary by industry. The ranges below are illustrative and based on typical market placement as of 2025-2026.
| Trade / Business Type | CGL Per Occurrence | CGL Aggregate | Workers Comp (statutory) | Umbrella (common ask) |
|---|---|---|---|---|
| Residential contractor | $1M | $2M | Required in most states | $1M–$5M |
| Commercial contractor / GC | $1M–$2M | $2M–$4M | Required | $5M–$10M |
| Janitorial / cleaning | $1M | $2M | Required | $1M |
| IT consultant / staffing | $1M | $2M | Required | $2M–$5M |
| Restaurant / food service | $1M | $2M | Required | $1M–$2M |
| Professional services (non-tech) | $1M | $2M | Required | $1M–$2M |
| Trucking / transportation | $750K–$1M (auto liability) | — | Required | $1M–$5M |
These are typical market ranges, not guarantees. Contract minimums may differ. Verify requirements with your specific contract and legal counsel.
Real-World Example: A Plumbing Subcontractor Working on a Mixed-Use Project
Scenario (illustrative — not a guarantee of coverage or cost):
Mesa Pipe & Mechanical LLC, a commercial plumbing subcontractor in Denver, CO, bids on a $400,000 rough-in contract for a mixed-use development. The general contractor's standard subcontractor agreement requires:
- CGL: $2M per occurrence / $4M aggregate, products-completed operations included.
- Additional Insured: GC and property owner named as additional insureds on an ongoing and completed operations basis (ISO CG 20 10 04 13 and CG 20 37 04 13 forms specified).
- Waiver of Subrogation: On GL and Workers Comp in favor of the GC.
- Umbrella: $5M follow-form over CGL, Auto, and WC/EL.
- Workers Compensation: Statutory limits; Employers Liability $1M/$1M/$1M.
Mesa's current policy carries only $1M/$2M CGL limits and a $2M umbrella. To qualify for the job, they contact Morrow to:
- Increase CGL limits to $2M/$4M (estimated additional premium: $800–$1,400/year depending on carrier and payroll).
- Increase umbrella to $5M (estimated additional premium: $600–$1,200/year).
- Request AI endorsements (CG 20 10 / CG 20 37) naming the GC and owner — no additional premium from most carriers.
- Endorse waiver of subrogation on both GL and WC.
- Obtain the ACORD 25 certificate reflecting all of the above.
The COI is issued the same day. The GC's insurance administrator verifies it directly with the carrier before mobilization. Total out-of-pocket to comply: roughly $1,400–$2,600 in annualized premium increases — a fraction of the contract value.
FAQ
What is a certificate of insurance in simple terms?
A certificate of insurance is a one-page document — usually an ACORD 25 form — that proves you have an active insurance policy. It lists your coverage types, limits, and policy dates. Think of it as a business's insurance ID card, except it's issued by your broker on behalf of your insurer.
Is a COI the same as an insurance policy?
No. A COI is a summary document only. It does not create, alter, or expand coverage. The actual policy contract governs what is and isn't covered. A COI that lists "Additional Insured" in the Description box does nothing unless the policy itself has been endorsed to add that party.
How long does it take to get a certificate of insurance?
In most cases, a COI is issued the same business day you request it — often within one to two hours — provided your policy is already in force and meets the requesting party's requirements. Complex endorsements (manuscript additional insured language, primary and non-contributory wording) may take one to three business days.
Does getting a COI cost money?
No. Issuing a certificate of insurance is a standard broker service included in your policy's placement — there is no separate per-certificate fee. However, if the certificate requires an endorsement that adds coverage (e.g., raising limits, adding an additional insured with blanket wording, or adding a waiver of subrogation), the endorsement itself may carry a premium.
Can a certificate holder make a claim under my policy?
No. Being named as certificate holder gives a party no rights under the policy by itself — it does not even guarantee cancellation notice, which applies only if the policy is endorsed to provide it. To have the right to file a claim under your policy, they must be named as an additional insured via a policy endorsement — not just listed on the certificate.
What happens if my policy cancels — does the COI become invalid?
Yes. A certificate of insurance is only valid as long as the underlying policy remains in force. If your policy cancels for any reason (non-payment, mid-term cancellation, expiration), the COI is no longer evidence of active coverage, and the certificate holder will receive a cancellation notice only if the policy has been endorsed to require notice to them.
Can I alter a certificate of insurance myself?
No — and doing so is illegal. Altering a COI constitutes insurance fraud and can result in criminal charges, civil liability, and immediate policy cancellation. Only a licensed agent or the insurer can issue or modify a COI.
What's the difference between ACORD 25 and ACORD 28?
ACORD 25 is used for liability coverages (CGL, auto, umbrella, workers comp). ACORD 28 is used for commercial property coverage (buildings, business personal property, business income). A project may require both if the requesting party needs proof of both liability and property insurance.
Why Morrow for Your Certificate of Insurance Needs
1. Same-day turnaround, no runaround. Morrow agents issue ACORD 25 and ACORD 28 certificates directly from our agency management system. Standard COIs go out within hours. We also handle the endorsement paperwork — AI status, waivers of subrogation, primary and non-contributory language — so you're not chasing carriers yourself.
2. Independent agency with access to multiple carriers. Because Morrow is an independent agency [Morrow to confirm: current carrier appointments], we can shop your coverage across multiple admitted and surplus lines carriers to find the limits your contracts require at competitive premiums — rather than being locked into a single insurer's appetite.
3. Contract review on coverage requirements. When you send us a subcontract or vendor agreement, our team reads the insurance requirements and tells you exactly what your policy does and does not satisfy before you sign — not after a claim is denied.
4. Trade and industry specialization. Morrow places coverage for contractors, trades, professional services, and hospitality businesses, among others. We understand what GCs, property owners, and lenders actually require — and we know which carriers will endorse the specific AI forms they ask for.
5. Real claims advocacy. If a certificate-related dispute arises — a GC claims you weren't properly insured, or an AI endorsement wasn't processed correctly — Morrow advocates on your behalf with the carrier, not the other way around.
Get Your Certificate of Insurance Fast
Ready to get proof of coverage — or need to update your limits before a new contract?
Get a Quote or Request a COI →
Morrow (Afthonea Inc, DBA Morrow) is a licensed independent commercial P&C insurance agency. [Morrow to confirm: licensed states and NPN]. We place coverage with admitted and non-admitted carriers on behalf of commercial insureds. Reviews available on [Morrow to confirm: Google / review platform].
Related Pages
- Commercial General Liability Insurance — the policy most commonly summarized on a COI
- Additional Insured Endorsement Explained — how to actually grant coverage rights to a third party
- Waiver of Subrogation: What It Means and When You Need It — a frequent COI add-on requirement
- Workers Compensation Insurance — the other coverage line most often required by certificate holders
- Commercial Insurance Cost Guide — understand what drives your premium before you shop
Author: Morrow Editorial Team, reviewed by a licensed P&C insurance broker [Morrow to confirm: named author with license credentials] Published: June 2026 Last updated: June 2026
Sources: - ACORD (Association for Cooperative Operations Research and Development) — ACORD 25 and ACORD 28 form standards - Insurance Services Office (ISO) — CG 20 10 and CG 20 37 Additional Insured endorsement forms - National Association of Insurance Commissioners (NAIC) — producer licensing and certificate of insurance model legislation guidance - Insurance Information Institute (III) — commercial lines coverage explanations - State Departments of Insurance (varies by state) — certificate of insurance prohibitions on altering forms - NCCI (National Council on Compensation Insurance) — workers compensation class codes and rate filings referenced for WC limits context