Definition of Certificate of Insurance
A certificate of insurance is provided with various types of insurance policies. The most common type of certificate of insurance comes with an automobile policy. A certificate of insurance is an insured's proof that he has an automobile or other insurance policy in force. The certificate provides limited information about the actual policy. The information it does contain can vary if a custom form or a standard Acord (see Resources) certificate is being used by an insurer.
Other People Are Reading
-
Producer Information
-
The producer section of the certificate is the person or company that orders and makes revisions to the certificate. The producer can be an insured's agent or her insurance company. This section will include the producer's name, their agency or company name as well as their business address. This information can be beneficial if the agent's contact information cannot be found.
Name of Insured
-
The name of insured section of the certificate is the name of the person who is on the policy. This will include her name as well as address. The address can be either a P.O. Box or a home address depending on what is used by the named insured. The named insured information can be used in the event that a vehicle is involved in an accident, and no contact information can be found.
-
Dates
-
There are various types of dates that can be found on a certificate of insurance. There is the policy effective date and the policy expiration date. The policy effective date is when the coverage on the policy became effective. The policy expiration date is when policy coverage ends and is usually 1 year from the policy effective date.
Description of Operations
-
This section is used to describe the operations of the business or entity who holds the certificate of insurance. This can be a company, school or any other type of business entity. In some cases, if there is no more room on the certificate, this section is used to include additional named insureds who are on the insurance policy.
Notice of Cancellation
-
The notice of cancellation section of the certificate is used to indicate information about what will happen should any policies listed on the certificate get canceled. Depending on the requirements of a particular state, sufficient notice needs to be sent to the named insured on the certificate. The most common amount of time is usually 30 days.
-
