What to Know Before Requesting a Certificate of Insurance

A certificate of insurance is a document that verifies the existence of an insurance policy and provides important information about the coverage it offers. For businesses, having a certificate of insurance can provide valuable protection in the event of a claim or lawsuit.

If you are considering requesting a certificate of insurance, there are a few things you should know.

First, it is important to understand the specific coverage provided by the insurance. The certificate of insurance will typically outline the types of coverage included in an insurance policy, such as property damage, liability, and workers' compensation. It is important to review this information to ensure that the coverage meets your business's needs.

Additionally, you should be aware of any exclusions or limitations in the coverage provided by a certificate of insurance. An insurance policy may have exclusions or limitations that could affect your business's protection. For example, an insurance policy may exclude coverage for certain types of losses or may have limits on the amount of coverage provided. It is important to understand these exclusions and limitations so that you can determine whether the coverage provided is sufficient for your needs.

These are a few key things to consider before requesting a certificate of insurance. By understanding the coverage provided, any exclusions or limitations, and the reputation and financial stability of the insurance company, you can make an informed decision and protect your business against potential risks and liabilities.