EmploymentQuestion 1018 of 1605
Which statement about a workers' compensation 'certificate of insurance' is correct?
a.It is optional and rarely requested in the construction industry
b.It is issued by the CSLB rather than an insurer
c.It is documentation a contractor provides to prove current coverage, and hiring parties routinely require it before allowing work to begin
d.It replaces the need to actually purchase a policy
Explanation
A certificate of insurance is proof, issued by the insurer, that a workers' compensation policy is in force. General contractors and project owners routinely require subcontractors to furnish current certificates before letting them start work, precisely to avoid inheriting liability for uninsured workers.
Law Reference: Labor Code §3700Practice all 1605 questions free — no signup required.
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Sen Lin, PrepPass Founder · Verified against California CSLB Contractor License Law & Business Exam · How we review
Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)