Certificate of insurance for contractors: what to check

What a COI is

A certificate of insurance is issued by the contractor's insurance agent or broker, listed on the form as the producer. Most liability certificates use the ACORD 25 form, so the boxes are in the same place from one contractor to the next.

Coverage and limits to check

• Insured: the same legal name as the company on your contract.
• General liability: the each-occurrence and aggregate limits your contract asks for.
• Auto liability: for the vehicles that come to your site.
• Umbrella or excess: if your contract needs limits above the base policy.
• Workers' compensation: in Virginia, required for employers who regularly employ more than two employees, counting the employees of their subcontractors.
• Policy dates: effective and expiration dates that cover the whole job.
• Description of operations: work that matches what you are hiring them for.

Source: Virginia Workers' Compensation Commission, employer FAQs

Additional insured and certificate holder

• Certificate holder: the person or company the certificate is issued to. Being the holder alone gives no coverage.
• Additional insured: an endorsement that extends the contractor's liability coverage to you for their work. The ADDL INSD column shows whether it applies to a policy.
• Waiver of subrogation: the SUBR WVD column. It shows whether the insurer gave up its right to recover a paid claim from you.

If your contract requires additional insured status or a waiver, ask for the endorsements themselves, not only the checked box.

How to verify a COI

1. Get it from the producerAsk the agent or broker on the form to send it to you directly.
2. Call to confirmUse the producer's number from your own search, not only the one on the form, and confirm the policies are active.
3. Check the datesThe policies should run through the end of your job.
4. Keep it on fileAsk for a new certificate when a policy renews during the job.

How to request one from E3R

E3R Home Services carries commercial insurance and sends a certificate on request. Use the form on our licenses and insurance page with the certificate holder, the project address and the start date, and we send it to your email.