Contractual Risk Transfer and Certificate of Insurance Monitoring
- Customized solutions for collecting and monitoring third-party Certificates of Insurance for any size of risk
- Full-service model administered by licensed agents and coverage placement experts
- Providing cost-effective “peace of mind” to ensure you’re not paying for claims you don’t owe
Everyday activities associated with your business operations may result in unexpected incidents which affect you, your property or your business. By not collecting Certificates of Insurance from your tenants, vendors and contractors and verifying the veracity of those certificates, you risk paying for claims associated with those incidents which are not your responsibility. Pipino’s Certificate Monitoring Service provides you with an efficient and cost-effective manner to gain control and prevent you from paying for what you don’t owe.
What is a Certificate of Insurance? Simply put, it is a document issued by an insurance carrier on behalf of its policyholder to inform you that this policyholder (vendor, tenant, contractor, etc.) has insurance coverage for specific policies such as General Liability, Property, Automobile or Workers’ Compensation, etc. The coverages, the name of the insurance company, the dates the policy is in effect and the limits of the policy are among the key information provided on the certificate.
Why is certificate monitoring important? Collecting a certificate of insurance to support a contractual risk transfer obligation is usually done when a contract is executed; but if it is a multiyear contract such as a lease or construction contract, who is ensuring the insurance requirements are being renewed to comply with the terms of the contract? Pipino’s proprietary Certificate Monitoring System ensures that each certificate collected evidences the proper coverage needed to match your established criteria.
Pipino’s Certificate Monitoring Department ensures that each certificate collected evidences the proper coverage needed to match your established criteria. The process includes the review of appropriate policy terms, coverage limits, and most importantly, the naming of the appropriate additional insured. If the responsible part does not have the appropriate coverage, you could end up paying for their claims. This is most important if these types of claims fall within a corridor of risk you are self insuring.
Pipino's certificate monitoring system offers web-based access to key information which can be viewed by the client at any time including:
- The list of criteria being monitored based on the client’s standard contract language or other agreements
- The type of coverage and limits for each certificate received from the third party
- The areas in which the third party is deficient, if applicable
- The required additional insureds as compared to the additional insureds evidenced on the certificate
- Scanned copies of all Certificates of Insurance received from the monitored third party, both current and historical
How does Pipino relieve administrative burdens with this service? Our program is a full-service model with all associated tasks being performed with the supervision of licensed insurance agents and coverage placement specialists. This expertise ensures your expectations will be met with the highest level of professionalism and industry expertise. We will fulfill all requests for Certificates of Insurance, generate reports to determine appropriate follow-up and implement remedial action for each non-compliant third party on your behalf. Pipino also automatically generates requests for updated certificates at renewal time. The certificate monitoring database has the capability to store historical information for claims handling.
Certificate monitoring and contractual risk transfer work hand in hand with Pipino’s other risk management tools to reduce the total cost of risk and give you the most value for your insurance dollar.