What Is a Certificate of Insurance (COI) & How to Collect It?

A certificate of insurance (COI) is a summary from an insurer. It shows a subcontractor's active policies, limits, and dates.

You collect a COI before a sub mobilizes. It confirms coverage like General Liability, Auto, Workers' Comp, and Umbrella. It also confirms endorsements such as Additional Insured and Waiver of Subrogation.

Why do COIs matter on construction jobs?

A COI is part of your risk and compliance package. Owners and lenders often require one for pay apps and closeout.

• Verify active coverage and minimum limits before work starts
• Confirm endorsements that shift or share risk
• Reduce delays on AIA and progress pay apps that need proof
• Build a clear audit trail for claims and financing reviews

What coverages does a COI show?

Request only what your contract and project risk justify. More coverage is not always better.

• General Liability for bodily injury and property damage
• Automobile Liability for owned, non-owned, and hired autos
• Workers' Compensation and Employers' Liability
• Umbrella or Excess Liability when higher limits are needed
• As needed: Professional Liability, Pollution, or Builder's Risk

Which endorsements should you require?

A COI lists policies. Endorsements change how those policies respond, so they matter more than the summary.

• Additional Insured for ongoing and completed operations
• Primary and Non-Contributory wording
• Waiver of Subrogation in your favor
• Notice of Cancellation per contract and insurer rules

Ask for the actual endorsement forms when required. A COI alone is not binding.

How do you collect and verify a COI?

Standardize the steps so subs can mobilize without a last-minute scramble. A checklist keeps gaps from slipping through.

• Pre-award: list coverage limits and endorsements in your subcontract
• Award: request the COI from the sub's broker or agent
• Verify: check the named insured, policy numbers, dates, limits, and endorsements
• Track: log expiration dates and request renewals before they lapse
• Gate: require a valid COI on file before site access or payment

When should you collect a COI?

Collect a COI before a sub sets foot on site. Also collect one before you approve their first pay app.

Re-verify on policy renewal. Re-verify again if a scope change needs higher limits. Treat a lapsed or expired COI like no coverage at all.

• Before mobilization and site access
• Before the first pay app or payment
• On every policy renewal date
• When scope or risk changes the required limits

What are common COI mistakes?

A few oversights cause most compliance issues. Catch them with a quick review.

• Expired policies, so track expirations and automate renewal reminders
• No endorsements, so ask the broker for specific forms, not COI notes
• Wrong entity, so match the named insured to the sub's legal name
• Coverage gaps, so verify limits and classifications match the scope

How does software simplify COI tracking?

Contractor software like Werx keeps your documentation with the work it supports. Compliance becomes part of your normal project rhythm.

• Attach COIs and endorsement PDFs to the project or subcontractor record
• Track required documents alongside AIA and progress billing
• Centralize notes and reminders with your project files
• Sync invoices and payments to QuickBooks Online

Key takeaways

• A COI summarizes a sub's active coverage, limits, and dates
• Endorsements, not the COI itself, control how policies respond
• Collect a valid COI before mobilization and before each renewal
• Werx keeps COIs and endorsements with the project and billing