Insurance Term of the Day: Certificate of Insurance (COI)

Insurance Term of the Day: Certificate of Insurance (COI)

Insurance Term of the Day – Certificate of Insurance


Insurance Term of the Day: Certificate of Insurance (COI)

We live in a world where everything is done using technology. Even money has become less paper, more digital technology. Heck, even the license plates on the back of our cars will become digital in the future.

Bills used to be paid the old fashioned way–being sent in the mail. Now, almost all of our bills are paid online, if not all of them. At one point, everything was done using paper. Important documents were certified using a simple piece of paper.

The importance of official documents is timeless. It’s a way to provide proof. One important document that affects your life is a Certificate of Insurance, or a COI.

What is a certificate of insurance? A COI is an important, official document that provides formal indication of your insurance policy, provided by an insurance company or broker.

What kind of information does a COI provide? A COI verifies your insurance policy, while also providing the important details of your policy. A COI provides basic information about the policyholder, like their name and address. A COI also lists:

  • the effective date of the policy
  • the policy period
  • the policy number
  • the type of coverage the policy provides
  • the limits of the policy
  • information about the deductible
  • along with any other important information.

Why do I need to have a COI? Proof of insurance is essential when working with third parties. In a business transaction, liability coverage is important to someone using your company’s services. The company could be held liable for damage, injuries, etc., and it is crucial for that company to have the proper coverage needed. Certificates can be requested when working with a company. The COI indicates that the company has coverage at the time the COI is sent to the involved company.

While COIs are not the official insurance policies, they provide a general explanation of the policy and the coverages included.

By: KayLynn P.

Be Confidently Insured.


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