What is a 'certificate of insurance'?

A 'certificate of insurance' serves as evidence of property or casualty insurance coverage. This document provides essential information about the insurance policy, including the types of coverage in place, the policy limits, and the timeframe of coverage. It is often used by businesses and organizations to demonstrate proof of insurance to clients, vendors, or regulatory bodies. The certificate is a valuable tool for verifying that an individual or organization has the necessary coverage to protect against potential liabilities.

The other options do not accurately represent what a certificate of insurance entails. For example, indicating unpaid claims is not relevant to the purpose of this document, as it focuses on the existence of coverage rather than claims status. A summary of insurance company ratings would pertain to the financial strength or performance of an insurer, which is outside the scope of the certificate's function. Lastly, documentation of insurance policy premiums relates to the cost of insurance rather than proof of coverage, which is the primary purpose of a certificate of insurance.