A general contractor requires each subcontractor to provide proof that they currently carry liability and workers' compensation insurance. The document the subcontractor's insurer issues to verify this coverage is called a:
a.Certificate of insurance
b.Notice of completion
c.Preliminary notice
d.Conditional lien waiver
Explanation
A certificate of insurance is a document issued by an insurer summarizing the existence, types, and limits of a policyholder's coverage. General contractors routinely require certificates from subcontractors before allowing them on the job.
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Related questions on this topic
- A property owner is injured when a wall built by the contractor's crew collapses on her. Which of the contractor's policies is designed to respond to this third-party bodily injury claim?
- Which type of insurance is specifically designed to cover a structure and its materials against fire, theft, and weather damage WHILE it is still under construction?
- Which statement best describes the key difference between an insurance policy and a surety bond?
- A project owner asks to be named an "additional insured" on the general contractor's liability policy. What does this accomplish for the owner?
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PrepPass team · Verified against California CSLB Contractor License Law & Business Exam · How we review
Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)