What a certificate is
A certificate of insurance (the standard form is ACORD 25) lists your carriers, policy numbers, limits and effective dates for general liability, auto, workers’ compensation, umbrella and any other lines. It is evidence that coverage exists on the day it was issued. It does not change your policy, and it does not itself give the holder any rights.
Certificate holder vs. additional insured
A certificate holder simply receives the certificate. An additional insured is added to your policy by endorsement and gains coverage under it for claims arising from your work. Contracts often require the second, not just the first. Read the insurance clause of the contract — or send it to Carly — before agreeing, because additional-insured requirements, waiver of subrogation and primary-and-noncontributory wording all have to be supported by the actual policy.
Common requirements you will see
General liability of $1,000,000 per occurrence and $2,000,000 aggregate; workers’ compensation with employer’s liability; commercial auto with a $1,000,000 combined single limit; an umbrella for larger jobs; and, for professionals, errors and omissions. If your policy does not meet the number in the contract, the fix is usually an umbrella or a limit increase, not a new policy.
Getting one issued
Send Carly the certificate holder’s name and address, the project or contract, and any special wording the contract requires. Routine certificates are issued the same business day. Anything that requires an endorsement — a new additional insured, a waiver — may take longer because the carrier has to change the policy.
This guide is general information about insurance in Michigan, not advice about a specific policy. Coverage depends on the policy’s terms, limits, exclusions and eligibility, and a request does not bind or change insurance.