When Do You Actually Need to Ask for a COI?

What happens if a vendor without insurance damages property or injures someone while working for you? The loss and cost incurred are the liability of your business. Having an insurance verification process in place encourages you to confidently enter into partnerships and protect your business against mistakes on projects you oversee.

A COI is a document summarizing the insurance policy. COIs can be confusing, but they don’t have to be overwhelming. So, ask for a COI when:

• Hiring contractors or vendors
• Leasing or renting property
• Working with suppliers or delivery partners
• Hosting or sponsoring events
• Entering into partnership or client agreements
• Hiring subcontractors
• Your client or partner requests coverage of insurance from you

Rule of thumb: Ask for a COI any time you wouldn’t want to pay for someone else’s mistake.

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What Projects or Contracts Require Vendor Insurance?

These projects or contracts require vendor insurance:

• Construction and renovation projects
• Service vendors working onsite
• Events, rentals, and temporary occupancy
• Equipment delivery and installation
• Professional services or consulting contracts
• Subcontracted work
• Transportation or logistics
• Government projects

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How to Request a COI?

Request an official Certificate of Insurance (COI) to ensure your vendor has adequate insurance coverage meeting your contractual requirements. Use these steps to request a COI from a vendor:

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Identify the Vendors Who Require A COI

Identify contractors, suppliers, and service providers whose work involves risk, such as construction, maintenance, or deliveries.

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Know Your Insurance Needs

Figure out the types of coverage, insurance policy limits, and endorsements you need.

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Request a COI

Send an email or a form detailing your insurance expectations. 

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Mention Submission Details

In your email or COI request form, mention where, how, and when the vendor should present the COI. 

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Review the Document

Verify whether the coverage aligns with your business needs and remains valid until the project finishes. 

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Track and Renew Whenever Necessary

Track insurance policy effective dates to prevent lapses and renew whenever needed.

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What Should You Include in a COI Request?

Include the following in your COI request:

• Coverage types and limits (general liability insurance, auto liability, workers’ compensation, and umbrella/excess liability)
• Additional insured and waiver of subrogation requirements
• Certificate holder name and address
• Project details (scope, location, and duration)
• Policy dates covering the full project period
• Submission deadline and contact information

How Do You Communicate Your Coverage Requirements?

The key to successful vendor partnering is communication. Being sure of what your insurance covers at the beginning spares you and everyone else time and prevents unpleasant surprises at the last moment. 

Include your insurance needs in your onboarding document, service contracts, or COI request form so vendors know what’s expected from the start. When you work with different types of vendors, whether it’s landscapers, IT professionals, or contractors, maintain a checklist of coverage details for each. This standardizes the process.

Share your requirements before your work begins, as early communication ensures vendors have sufficient time to obtain or adjust coverage, thereby protecting both parties from potential risks. 

Using a platform like illumend, standardize how you communicate, verify, and track insurance requirements across all vendors.

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How Long Does It Take to Receive a COI?

Most vendors send a COI within one to five business days, depending on how they request it from their insurance company.

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Online

Online COI request takes less than a day because many insurance providers provide online access as soon as they receive a request from the vendor’s end.

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Through a broker or agent

The process takes a few days, depending on the insurance agent’s availability and ability to fulfill the COI request and send the document.

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Through email

When you request a COI via email, response time varies based on the vendor’s and insurer’s internal processing and verification steps. On average, it can take two to five business days to receive the insurance certificate.

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What If a Vendor Pushes Back on Your Insurance Requirements?

Independent contractors, new vendors, and service providers ask about insurance requirements or need more context around what’s expected. Be consistent when explaining your policies. Let them know your coverage standards are in place to keep every project safe and partnerships steady.

If a vendor’s coverage terms don’t match what was agreed to, review the details with your compliance or risk team. Work together to determine what updates are necessary to ensure the coverage meets your business requirements.

Keeping a record of related decisions and approvals supports clear communication and consistent documentation across all vendor relationships.

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What Do You Do About Non-Compliant COIs?

When you receive a non-compliant COI containing missing endorsements, expired dates, or lacking adequate limits, address the COI at once. Here’s what to do:

• Notify the vendor in writing
• State correctional needs
• Establish a specified deadline for resubmission

For an added level of compliance layer, consider using a platform like illumend. It can flag COIs needing attention, send reminders, and track updates in real time.

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What's the Easiest Way to Track COI Requests?

Managing your COI requests is simple with illumend, as the platform streamlines the process into an organized and automated workflow. Built on 15 years of insurance compliance expertise, illumend combines AI precision with practical workflow tools. With one-click vendor invites, the platform removes the need for portals or logins. 

Real-time compliance decisions and proactive alerts keep your projects running, while Procore integration ensures illumend fits naturally into your workflows. Lumie™, the built-in AI guide, explains insurance requirements and next steps in clear, simple language. 

Experience effortless COI tracking with illumend and keep every project protected, compliant, and on track. Schedule your demo today.