How to Read a Certificate of Insurance

A certificate is one page, but every box matters to the person asking for it. Tap any part of the sample below to see what it means and what to check.

Certificate of Liability InsuranceDate 01/02/2027
1

This certificate is issued as a matter of information only and confers no rights upon the certificate holder. It does not amend, extend or alter the coverage afforded by the policies below.

2ProducerHardcover
4Insurers affording coverageA: Insurer One · B: Insurer Two
C: Insurer Three · D: Insurer Four
3InsuredYour Firm, LLC
5 Type of insurance7 Addl insd8 Subr wvd9 Policy dates10 Limits
A · Commercial General LiabilityOccurrenceYY01/01/27 to 01/01/28
Each occurrence$1,000,000
General aggregate$2,000,000
B · Automobile LiabilityAny autoYY01/01/27 to 01/01/28
Combined single limit$1,000,000
A · Umbrella LiabilityOccurrenceY01/01/27 to 01/01/28
Each occurrence$5,000,000
C · Workers CompensationStatutoryY01/01/27 to 01/01/28
E.L. each accident$1,000,000
D · Professional LiabilityClaims made01/01/27 to 01/01/28
Per claim / aggregate$2,000,000
6 Occurrence or claims made
11Description of operationsProject: 100 Main Street renovation. Certificate holder is included as additional insured on a primary and non-contributory basis, with waiver of subrogation, where required by written contract.
12Certificate holderOwner Name, LLC
123 Anywhere Ave
13CancellationNotice will be delivered in accordance with the policy provisions.

Sample only, with made up names and values. General education, not an interpretation of any policy or contract, and not legal advice. The wording of your own policy and contract controls.

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Pick the coverages a firm carries and see how they show up on a certificate, letter by letter.

Coverages
The contract asks for
Certificate of Liability InsuranceSample for illustration only. Not a certificate of insurance.
Date (MM/DD/YYYY)
10/01/2026
ProducerHardcover
Architects & Engineers Insurance
(877) 247-7755
InsuredYour Firm, LLC
123 Main Street
Anytown, ST 00000
Insurer(s) affording coverageInsurer A: Sample Insurance Co.Insurer B: Sample Insurance Co.Insurer C: Sample Insurance Co.Insurer D: Sample Insurance Co.Insurer E: Sample Insurance Co.
✓ Additional Insured✓ Waiver of Subrogation✓ Primary & Non-Contributory✓ 30-Day Notice of Cancellation
Insr ltrType of insuranceAddl insdSubr wvdPolicy numberPolicy effPolicy expLimits
ACommercial General Liability Claims-made✓ Occur✓✓SAMPLE-100010/01/202610/01/2027Each occurrence$1,000,000Damage to rented premises$100,000Personal & adv injury$1,000,000General aggregate$2,000,000Products / comp ops agg$2,000,000
BAutomobile Liability · Hired & Non-Owned✓✓SAMPLE-103710/01/202610/01/2027Combined single limit$1,000,000
CUmbrella / Excess Liability Claims-made✓ Occur✓✓SAMPLE-107410/01/202610/01/2027Each occurrence$5,000,000Aggregate$5,000,000
DWorkers' Compensation and Employers' Liability✓SAMPLE-111110/01/202610/01/2027Per statute✓EL each accident$1,000,000EL disease, each employee$1,000,000EL disease, policy limit$1,000,000
EProfessional Liability✓ Claims-made OccurSAMPLE-114810/01/202610/01/2027Each claim$1,000,000Aggregate$2,000,000
Description of operations / locations / vehicles

Certificate holder is included as additional insured on Commercial General Liability, Automobile Liability, Umbrella / Excess Liability on a primary and non-contributory basis where required by written contract.

Waiver of subrogation applies to Commercial General Liability, Automobile Liability, Umbrella / Excess Liability, Workers' Compensation and Employers' Liability where required by written contract.

30 days' notice of cancellation to the certificate holder per the attached endorsement.

Sample wording.

Certificate holderYour Client
Project Owner, Inc.
456 Project Avenue

Illustrative limits and made-up names. A real certificate shows your actual policies and limits, and it does not change or extend coverage. Whether a policy includes these endorsements depends on its actual terms.

The contract behind the certificate

What the Insurance Section Is Asking For.

These phrases show up in almost every contract. Below is what each one generally means.

“Name Owner as additional insured”

Add the owner to your policy for claims that come from your work. That takes an endorsement on the policy. A line on the certificate is not enough.

Definition →

“Waiver of subrogation”

Your insurance company agrees not to go after the owner to get back money it paid on a claim. Also an endorsement.

Definition →

“Primary and non-contributory”

Your policy pays first, and the owner’s own insurance is not asked to share the loss.

Definition →

“Per project aggregate”

Your annual limit applies separately to each project, so one project cannot use up the limit for all your others.

“Indemnify, defend and hold harmless”

You agree to cover certain losses of the other party. Some of this promise may be broader than any insurance policy will cover, which is why it is worth a review before you sign.

“Completed operations”

Coverage for injury or damage that happens after your work is finished. Some contracts require it for years after the project closes.

“30 days notice of cancellation”

The holder wants to be told if your policy is cancelled. The standard certificate does not promise this on its own; it usually needs an endorsement.

“Insurers rated A- VII or better by AM Best”

A minimum financial strength rating for the insurance companies behind your policies. The holder can look up each company on the certificate.

“Professional liability of $2,000,000 per claim”

Covers claims that your design, advice or reports caused a loss. It is written on a claims made basis, so it has to stay in force for coverage to continue.

Definition →

“Maintain coverage for 3 years after completion”

Keep the policy active after the project ends. For claims made coverage, that means renewing without a gap, or buying tail coverage if you stop.

Definition →
Questions we hear every week

“Why Do I Need This?”

I’m not a GC and I don’t build anything. Why do they want all this?

Owners use one insurance section for everyone on the project, and most of those templates were written for contractors. That is why a design firm gets asked for auto, umbrella and additional insured status on everything.

Some of it still applies to you: if you visit the site, or if others build from your drawings, you can be part of a claim. Some of it does not fit design work at all, like additional insured on professional liability. Those parts can often be adjusted before you sign.

It’s a $5,000 job. Why do I need $1 or $2 million in coverage?

The limit is about what could go wrong, not about your fee. A small error on a small job can still lead to a repair, a delay or an injury that costs far more than you were paid.

The owner sets the same minimum for everyone. If the requirement is out of proportion to the work, ask. Owners often accept lower limits, or a limitation of liability, when someone asks before the contract is signed.

The certificate says the owner is an additional insured. Does that mean they are?

Only if the policy includes an additional insured endorsement that applies to them. The certificate itself says it does not change the policy. That is why we check the policy before any certificate goes out.

Why can’t I add the owner as additional insured on my professional liability?

Professional liability policies are written to protect you against claims from clients and others about your work. Adding the client as an insured would put them on both sides of the same claim, so insurance companies almost never allow it. The usual fix is to change the contract language.

Why do they want a new certificate every year?

A certificate is a snapshot of the policy dates in effect when it was issued. When your policies renew, holders need one showing the new dates. A certificate holder library means those can go out at renewal without starting from scratch.

Can I just edit an old certificate myself?

No. Only the agency that placed your insurance should issue or change a certificate. Editing one yourself can be treated as misrepresenting your coverage, and in many states it breaks the law.

The contract asks for insurance I don’t have. What now?

Send it to us before you sign. We will show you which requirements you already meet, which ones you could add, and which ones are worth asking the owner to change.

Let us handle it

Send Us the Contract. We’ll Handle the Certificate.

We check the requirements against your policies, fix what is missing, and keep every holder on file for next year.

How We Handle COIs →Check a Contract →
Talk to a specialist

Tell Us About Your Firm. We’ll Tell You What We See.

Starting out or renewing, with a policy in hand or not. If something is worth discussing, we’ll call. If not, we’ll say so.