Certificate of Insurance

Definition

A certificate of insurance is a document provided by the general contractor verifying that the required insurance for the project has been obtained.

Purpose

The purpose of a certificate of insurance is to confirm that the contractor has the necessary insurance coverage, protecting against potential liabilities and ensuring compliance with contract requirements.

Examples of Use

1. Project Start: Submitting a certificate of insurance before commencing work to prove coverage for general liability, workers' compensation, and other required policies.
2. Permit Applications: Providing the certificate to obtain necessary construction permits from local authorities.
3. Subcontractor Verification: Requiring subcontractors to submit their certificates of insurance before beginning work on the site.

Related Terms

• General Liability Insurance: Coverage protecting against claims of bodily injury and property damage.
• Workers' Compensation Insurance: Coverage for medical expenses and lost wages for injured workers.
• Bonding: A form of insurance ensuring contract completion and payment of subcontractors and suppliers.

Notes

• The certificate of insurance must be kept up-to-date throughout the project duration to ensure continuous coverage.
• It includes key information such as policy numbers, coverage limits, and effective dates.