Myth: It’s acceptable for a renter’s insurance certificate to be handwritten or altered.
Fact: It’s NEVER acceptable for a certificate of insurance to be altered by hand or edited in any way!
I encounter a lot of scary practices regarding insurance certificates supplied by people renting from rental houses. Over the years, situations occurred where customers altered their certificate of insurance by writing in their name as “Named Insured.” In other instances, clients attempted to alter the dates on their policy in order to extend the coverage. The most concerning incident involved a client increasing the amount of coverage shown on their insurance certificate.
The possibility exists that they made these alterations in ignorance. Maybe the spelling of the name on the certificate of insurance was wrong. It does not seem like a big deal to correct it without asking for a printed copy of a revised certificate. Or perhaps they really did increase their coverage amounts or extend their effective dates, but they thought they could just write in these changes instead of getting a new copy.
Unfortunately, that is not the way it works.
What is a Certificate of Insurance?
A certificate of insurance is the official document issued by an insurance company or broker that verifies the insured party, the amount of coverage, and coverage dates.
It acts in conjunction with the contract between the insurance company and the insured. If the document shows alterations that don’t match the contract held by the insurance company, they hold no liability. You could find yourself without proper coverage because the certificate is NOT the contract.
You need to obtain an accurate copy of an insurance company, printed by that company.
What to Do if You Hold an Altered Insurance Certificate
If you are afraid that a certificate of insurance may not be legal, do NOT be afraid to contact the agent. Many times it is only an innocent mistake on the part of the client. However, you definitely want to make sure before doing business with them.
Don’t worry about “bugging” us or taking up our time. We appreciate it when you ask about the insurance certificates issued by our clients. You are doing all of us a favor by letting us know that the certificate has modifications. Trust me, none of us wants to get caught in a situation without legal coverage. Like I said, the handwritten modifications don’t satisfy legal requirements but we can easily print an updated document. If the edits to the certificate aren’t valid, you definitely want to know.
Just make a quick phone call to verify coverage and clear up any potential problems before the damage occurs.
Client-Issued Certificates of Insurance
Sometimes clients will have the ability to issue certificates of insurance themselves through a website or online portal. In that case, the agent and the insurance company see a list of the certificates that they issue. We control the dates and coverages shown on the certificate, and they don’t own the ability to change them.
Unfortunately, some clients think since they issued their own insurance certificates, they can change them, but that is not how it works.
Please call if you have any question regarding insurance certificates. The rules and regulations can be a bit confusing, but I’m always happy to help explain the ins and outs of insurance coverage.
