How to Read an ACORD 25 Certificate of Insurance

If you manage subcontractors, you've seen hundreds of Certificates of Insurance. But do you actually know what you're looking at?

The ACORD 25 is the standard form used across the insurance industry to summarize a company's coverage. It's a single page packed with critical information — and missing even one detail can leave your company exposed.

Here's a section-by-section breakdown of what matters.

The Header: Producer and Insured

The top of the form shows two key parties:

Producer — the insurance agent or broker who issued the certificate. This is your contact if something looks wrong.
Insured — the company that holds the insurance. This should be the exact legal name of your subcontractor.

Watch out for name mismatches. If your contract is with "Rocky Mountain Drywall LLC" but the COI shows "RM Drywall Inc," that's a different legal entity. The coverage may not apply.

Insurers (Companies Affording Coverage)

Below the header, you'll see a list of insurance companies labeled A through E. Each policy on the form references one of these insurers by letter.

Check the NAIC number if you want to verify the insurer is real and licensed in your state. The NAIC maintains a public database.

The Policy Grid: What Coverage Exists

The middle of the form is a grid showing each type of coverage:

Commercial General Liability (GL)

This is the most important section for construction. Key limits to verify:

Each Occurrence — typically $1,000,000 minimum
General Aggregate — typically $2,000,000 minimum
Products/Completed Operations — covers claims after the work is done

Also check the boxes for Claims-Made vs. Occurrence basis. Most construction contracts require occurrence-based coverage.

Automobile Liability

Look for the Combined Single Limit (CSL) — typically $1,000,000 minimum. Make sure "Any Auto" is checked, not just "Owned Autos."

Workers Compensation

This section should show Statutory limits (meaning it meets your state's requirements) plus Employers Liability limits:

Each Accident — typically $1,000,000
Disease - Each Employee — typically $1,000,000
Disease - Policy Limit — typically $1,000,000

If a sub claims they don't need Workers Comp because they're a sole proprietor, get that in writing and verify it's legal in your state.

Umbrella / Excess Liability

This extends the limits of underlying policies. If you require $2M+ in umbrella coverage, verify both the Each Occurrence and Aggregate limits.

Description of Operations

This free-text section at the bottom is where endorsement language lives. Look for:

"Certificate holder is named as additional insured" — this is critical
"Waiver of subrogation applies" — prevents the sub's insurer from suing you
"Primary and non-contributory" — means the sub's policy pays first, before yours
CG 20 10 and CG 20 37 endorsement numbers — the specific forms that grant additional insured status

If you require these endorsements and they're not mentioned here, the certificate is non-compliant — even if the coverage limits look fine.

Dates Matter

Every policy has an Effective Date and Expiration Date. Check that:

All policies are currently active (not expired)
Coverage extends through the duration of your project
Different policies may have different dates — check each one

A COI with expired Workers Comp but valid GL is still non-compliant if you require both.

What Most People Miss

After reviewing thousands of COIs, here are the most common gaps:

Waiver of Subrogation on all required policies — it's often only confirmed for GL but missing from Auto and WC
Additional Insured status — the box is checked but the Description of Operations doesn't mention the certificate holder by name or reference the endorsement forms
Umbrella coverage — present but below the required minimum
Policy expiration dates — one policy renews in March, another in September; the March policy expires without anyone noticing

The Bottom Line

A COI is only as good as what it actually says. Don't just glance at it — read every field, check every date, and verify every endorsement.

Or let AI do it for you. Check a COI now →