What Is a Certificate of Insurance (COI)? A Guide for Texas Businesses
If you run a business in Texas, sooner or later a client, landlord, or general contractor is going to ask for “a COI” or “proof of insurance” before you can start work or sign a lease. Here is exactly what that means, what is on it, and how to get one without holding up the job.
What a certificate of insurance is
A certificate of insurance (COI) is a one-page summary of your business insurance. It proves you have active coverage and shows the key details: which policies you carry, the limits, the carrier, and the dates the coverage is in force.
It is issued by your insurance agent or carrier, and it is standardized. Most COIs come on an ACORD 25 form, the industry-standard layout everyone recognizes. The certificate itself does not change your coverage, it is a snapshot of what your actual policies already provide.
What is on a COI
- The insured: your business name and address.
- The policies: typically general liability, and often workers’ compensation, commercial auto, and umbrella if you carry them.
- The limits: the dollar amounts each policy covers.
- Effective and expiration dates: proof the coverage is current.
- The certificate holder: the client, landlord, or general contractor requesting proof.
- Additional insured status: noted if it applies (more on that next).
Why people require a COI
Whoever is asking wants to know that if something goes wrong, your insurance, not theirs, responds. A general contractor requiring a COI from every subcontractor is protecting the whole project. A landlord wants proof before handing over keys. A client hiring you for a job wants to know a mistake or injury will not land on them.
No COI often means no contract, no job, or no lease. It is a gate you have to pass through, so it pays to have coverage ready before you need the certificate.
Additional insured vs certificate holder (the part people confuse)
This trips up a lot of business owners, and the difference is real:
- Certificate holder just means the person receiving the certificate. They can see your coverage exists. That is it.
- Additional insured means that party is actually added to your policy and gets protection under it, usually required in contracts where you are doing work for them. Adding an additional insured changes your policy, and some carriers charge for it.
When a contract says “name us as additional insured,” a plain certificate is not enough. We have to endorse your policy to add them. Read the contract, because the wording tells us exactly what to issue.
How to get a COI (and get it fast)
- Have the coverage in place first. A certificate only reflects policies you already have. If you do not carry general liability yet, that is step one. Not sure where to start? See our guide on small business insurance.
- Send us the details. The certificate holder’s exact name and address, and any contract language about limits or additional insured status.
- We issue it, often same day. Once you are set up, generating a certificate is quick, so a client request should not stall your job.
A warning: never fake a COI
It can be tempting to doctor a certificate to land a job, do not. Presenting false proof of insurance is fraud, and if a claim hits with coverage you do not actually have, you are personally on the hook for the whole thing, plus the fallout with your client. The right move is to actually carry the coverage, which is cheaper than one uncovered claim.
We will get you covered and certified
Coverall Insurance Agency writes business and commercial coverage for Texas contractors, trades, and service businesses, and we issue certificates fast so you never lose a job over paperwork. Send us the contract and we will make sure your policy and your COI actually match what it requires.
Need a certificate today? Call or text us at 830-415-4971 and we will take care of it.