What is a certificate of insurance (COI)?
A certificate of insurance (COI) is a one-page document from an insurer or broker that proves a business carries insurance. It summarizes the policy types, coverage limits, and effective and expiration dates — but it is a snapshot, not the policy itself, and it can fall out of date the moment a policy changes.
What a COI shows
A typical COI lists the insured business, its insurer(s), the kinds of coverage in force (general liability, auto, umbrella, workers' compensation), the dollar limits on each, and the dates the coverage starts and ends. It also names a certificate holder — the business that asked for the proof.
In the United States this information almost always arrives on a standardized ACORD form, which is why one COI looks much like the next.
Why businesses ask for one
If you hire vendors, lease space, or let contractors onto a property, a COI is how you confirm they carry enough insurance to cover the risk they bring. If something goes wrong and they are not properly covered, the liability can land on you.
The catch: a COI expires
A certificate is only true on the day it is issued. Policies get cancelled, lapse for non-payment, or renew with different limits — and the certificate you filed last year does not update itself. That is why collecting COIs once is not enough; you have to track expiration dates and re-collect them, which is exactly the job COI tracking software exists to automate.
Related terms
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