Of course, clients aren’t the only ones who may ask to see your insurance. Other third parties like vendors, business partners, and landlords may need to see your insurance documentation, too. But once you have insurance it should be a fairly easy process to get an Insurance Certificate and send it their way.
How to Add Subcontractors to Your Insurance Certificate as Additional Insureds
Our research shows that 24 percent of small IT businesses hire subcontractors. As an IT project manager, you may have to do the same. But when you do, you’ll want to make sure that you have coverage for subcontractor liability. To do that, you have two options:
- Make sure subcontractors have their own insurance. When you hire subcontractors, your contractor agreement can specify that they’ll need their own coverage. Ask to see their insurance certificate before hiring.
- Add subcontractors as additional insureds to your policy. Sometimes the simplest option is to add an additional insured to your own Professional Liability or General Liability Insurance. Contact your agent and they’ll take care of the process.
If you add a subcontractor to your policy, you’ll have to request a new insurance policy from your insurance provider. You provider should respond quickly – after all, the practice is fairly standard.
What Disclaimers Come with an Insurance Certificate?
When you get an Insurance Certificate, you may notice that it has a disclaimer saying that the document is for informational purposes and can’t be used in place of an insurance policy.
What your insurance company is saying is that this document is only a summary. Having the cert does not mean you have coverage. You have to have the full policy for that. Plus, your full-length policy has many more warranties and conditions that can’t be summarized in a one-page certificate. To know if a claim is covered, you should always go back to your insurance agreement.