Glossary
Certificate of Insurance
A one-page summary evidencing that coverage is in force, issued to a third party such as a landlord, lender, or client.
A certificate proves coverage exists without disclosing the full policy. It names the insured, the carrier, the policy numbers, the limits, and the term, and it is issued constantly in commercial lines.
Certificates are informational and confer no rights by themselves — a common misunderstanding among the third parties who demand them. Issuing one that overstates coverage is a direct errors-and-omissions exposure for the agency.
See also
- ACORD Forms — The standardised insurance application, certificate, and notice forms published by ACORD and used across the industry.
- Errors and Omissions Insurance — Professional liability coverage protecting an insurance agency against claims arising from mistakes in the advice or ser…
- Binder — A temporary insurance contract that provides coverage until the formal policy is issued, typically used while the applic…