Red flags when reviewing a certificate of insurance
Spot the common problems on a certificate of insurance: dates, names, limits, checked boxes without endorsements, wrong holder, and when to ask for more proof.
A certificate of insurance (COI) is a summary, not a policy, so reviewing one means looking for what is wrong, missing, or unsupported. The most common red flags are expired or unclear dates, a name that does not match the contract, limits below the requirement, endorsements shown without proof, and the wrong certificate holder. This page lists them and says what to ask for when the risk is significant.
Remember what a certificate is
An ACORD 25 is informational. It says it does not amend, extend, or alter the coverage afforded by the policies. The policy itself and its endorsements decide what is actually covered. That is why a checked box is a starting point, and why for big or risky work you ask for more.
Red flags in the basics
- Missing or illegible dates. Every policy needs an effective and expiration date. Cropped, blurry, or blank dates mean you cannot confirm coverage.
- Expired policy. Check each policy, not just the first one. A certificate can show a current general liability policy next to an expired auto policy.
- Policy period does not cover the project. An expiration date in the middle of the job means you need a renewal certificate on file before then.
- Wrong insured name. The named insured should match the subcontract and the W-9. Look for misspellings, a different entity, a DBA instead of the legal name, or a related company. Coverage for one entity does not automatically cover another.
- Insurer not identified, or hard to verify. Each policy should map to an insurer with a name and NAIC number. If the insurer is missing, unfamiliar, or you cannot verify it, ask. Contracts commonly require a minimum rating and authorization in the state, so check yours.
- Unsigned or altered certificate. An authorized representative signs the certificate. Signs of editing, such as mismatched fonts or pasted text, justify a request for a fresh copy straight from the agent.
Red flags in coverage
- Limits lower than required. Compare each limit to the contract, box by box. See general liability limits explained.
- Claims-made instead of occurrence. The certificate shows which form applies. Claims-made policies respond differently, especially after the policy ends, so check whether your contract accepts them.
- Umbrella without clear underlying coverage. Check that the umbrella sits over the policies the contract expects. See umbrella vs excess liability.
- Workers' compensation missing. Either a policy should be shown or a valid exemption provided. See workers' comp exemptions.
Red flags in endorsements and wording
- Boxes checked but no endorsements attached. The additional insured and waiver of subrogation boxes show a claim, not the endorsement. Ask for the endorsement pages. See additional insured CG 20 10 vs CG 20 37 and waiver of subrogation.
- Description of operations is blank or generic. A description that does not mention the project, contract, or required parties may be a sign nothing was set up for you. Note that for some endorsements the wording on the certificate matters less than the policy, but a blank description is a reason to ask.
- Wrong certificate holder. The name or address differs from what the contract requires. This is often a simple fix, but it must be corrected. See certificate holder vs additional insured.
- Cancellation wording. The standard ACORD 25 wording points to the policy's own cancellation provisions. If your contract requires advance notice, a certificate alone usually does not give you that. Ask the vendor's agent what is actually in place.
What to ask for when the risk is significant
For large contracts, long projects, or higher-risk trades, ask for:
- Copies of the additional insured, waiver of subrogation, and primary and non-contributory endorsements.
- The policy declarations page, which shows limits, forms, and endorsements listed on the policy.
- A full copy of the policy, in rare cases.
- A statement from the agent confirming anything the certificate cannot show.
Keep the extra documents with the certificate so the file is complete.
A short review routine
Read the insured name, then each policy's dates, then each limit, then the endorsements, then the holder, then the description. Write down every gap and send them all at once, so the vendor can fix everything in one round. For wording questions, ask an insurance professional or an attorney: a certificate review is not legal advice.
Check this automatically
ComplySub reads the uploaded certificate and compares it with the requirements you set: it flags low limits, missing additional insured, waiver of subrogation, or primary and non-contributory wording, a wrong certificate holder, and expired or expiring policies. Vendors upload through a link without an account, and ComplySub reminds the vendor and their insurance agent. It reads the certificate, so it cannot confirm what the policy itself says. For that, ask for the endorsements.
This guide is general information, not legal or insurance advice. Insurance and licensing rules vary by state, carrier, and contract; confirm what applies to you with your insurance professional, attorney, or licensing board.