Vendor Insurance Tracking for Property Managers in the DMV

What a certificate of insurance does and does not tell you

A certificate summarizes insurance information at a point in time. It is not the policy.

DC's procurement policy describes a certificate as evidence, but not proof, that the named insured has the listed policies in place, and says it confers no rights on the certificate holder that do not already exist in the policy contract.

The ACORD 25 form says similar things on its face: it is issued for information only and does not amend, extend, or alter the policy's coverage. If you are supposed to be an additional insured, the policy itself must have additional insured provisions or be endorsed, and a statement on the certificate does not replace that endorsement.

The newest edition, ACORD 25 (2025/12), adds wording saying the limits shown include amounts requested by the certificate holder and may not reflect higher policy limits. Older editions may still be in circulation, so do not reject a certificate only because of its edition.

Virginia law adds a rule of its own. Code of Virginia section 38.2-518 says no one may issue a certificate of insurance that attempts to confer rights on a third party beyond what the policy expressly provides, and that a certificate may not represent an insurer's obligation to give notice of cancellation or nonrenewal to a third party unless the policy requires that notice. It applies to certificates issued as a statement or summary of coverage on property, operations, or risks located in Virginia.

A certificate does not show whether a policy is still in force today, what it excludes, or the wording of its endorsements. Your broker can help you review a vendor's policy for the work you are hiring them to do.

Step 1: Decide what to require and write it down

What you require from a vendor is set by your contract. Decisions to make and record:

• The coverage types and minimum limits you want (for example general liability, auto if the vendor drives for the work, workers' compensation, and umbrella or excess)
• When the certificate is due
• The exact name and address that should appear as certificate holder
• Whether you want additional insured status or a waiver of subrogation (your broker can advise on wording)
• How you will be told if coverage is cancelled, reduced, or not renewed
• What happens if coverage lapses
• Whether subcontractors must carry comparable insurance

For a reference point, see the DC benchmark section below.

Step 2: Check licenses where they apply

Maryland. The Maryland Home Improvement Commission (MHIC) licenses contractors who do residential home improvement work. Effective June 1, 2024, MHIC-licensed contractors must carry general liability insurance of at least $500,000 under Business Regulation Article section 8-302.1. Confirm whether your work and property type are covered. Maryland's electrician, HVACR, and plumbing boards each require licensees to carry at least $300,000 in general liability and $100,000 in property damage insurance and to name the board as certificate holder on the licensing certificate. That certificate is separate from one issued to you. MHIC and these boards offer online license searches through the Maryland Department of Labor.

Virginia. The Virginia Department of Professional and Occupational Regulation (DPOR) says a valid Virginia contractor's license is required for work valued at $1,000 or more, and its License Lookup shows license status and past disciplinary actions. The Board for Contractors regulations list roofing contracting and landscape service contracting as licensed specialties.

For workers' compensation, the Virginia Workers' Compensation Commission says an employer who regularly employs more than two part-time or full-time employees must carry coverage, and subcontractors' employees count toward that total. Its Insurance Coverage Search lets you look up a vendor's commercial coverage by business name or federal employer identification number. It does not show self-insured employers. For proof of replacement coverage, the Commission asks for a binder, declarations page, or information page, not a certificate.

DC. DC's Department of Licensing and Consumer Protection sets minimum insurance levels by license type, including general contractor and construction manager classes (for example, at least $2,500,000 per occurrence for Class A) and home improvement contractors ($50,000 for one person, $100,000 aggregate, and $10,000 property damage in a single accident). See our guide to vendor insurance requirements by trade for the full list. Licensing varies by trade, so confirm which license applies to the work you are hiring for.

Step 3: Collect the certificate before work begins

DC's own policy requires a certificate before work starts and says no work is performed until the contracting officer has received and approved it. The private sector is not bound by that rule, but you can use it as a model.

A request to the vendor and their broker can include:

• The vendor's exact legal name as it should appear on the certificate
• Your name and address as certificate holder
• The property or project and the start date
• The required coverage types and limits
• A due date that leaves you time to review
• Where to send the certificate

Step 4: Review each certificate

Check the following on the certificate:

• The certificate holder name and address match yours
• The insured name matches the vendor in your contract
• Every coverage line you require is listed
• Policy numbers are present and readable
• Effective and expiration dates cover the work period
• The limits shown meet your requirements (they may reflect only amounts requested, so your broker can tell you when to ask for the declarations page)
• If you required additional insured status or a waiver of subrogation, the certificate indicates it (the boxes only show that the issuer marked them)
• The certificate is signed by an authorized representative

If anything is missing or unclear, ask the vendor's broker for a corrected certificate before work begins.

Step 5: Track renewals

Policies expire, and a certificate does not update itself. Track every expiration date and ask for a renewal certificate before each policy expires. As a suggestion, start asking 30 to 60 days ahead and follow up if you have not received it. DC's Office of Risk Management says its contractors must provide evidence of renewal before the expiration date of each policy, which is a benchmark for DC government contracts.

Columns for a vendor insurance tracker:

• Vendor legal name
• Vendor contact
• Vendor's broker contact
• Property or project
• Work start and end dates
• Coverage type
• Insurer name
• Policy number
• Policy effective date
• Policy expiration date
• Minimum limit required
• Limit shown on the certificate
• Certificate received date
• Last reminder sent
• Status (Active, Renewal Pending, At Risk, Expired)
• Notes

Step 6: Keep records

For each vendor, keep the signed contract or statement of work, each certificate (including renewals), and your requests to the vendor. Ask your broker or attorney how long to keep certificates and related records.

DC government contracts: a benchmark, not a rule for private vendors

DC's Contract Insurance Requirements policy (OCP Policy 3002) applies to contracts the District enters under its procurement law. It is not a legal requirement for private vendors unless your own contract adopts it. For its own contracts:

• Contractors must show required coverage before work commences (sections 6.1.1 and 6.1.2), and no work may be performed until the contracting officer has received and approved the certificate.
• The certificate must show the insurer, the insured, the coverage type, policy numbers, effective and expiration dates, and limits, and its description section must show the District as an additional insured with a waiver of subrogation (section 6.2).
• Each policy must contain a binding endorsement requiring the insurer to give the contracting officer at least 30 days' prior written notice of cancellation (section 7.1.1).
• If coverage is materially changed, cancelled, or not renewed, the contractor must immediately notify the contracting officer, obtain replacement coverage, and send an updated certificate (section 7.1.2). The District may stop work or terminate for noncompliance (section 7.2.1).
• Insurers must be licensed and authorized to do business in the District or where the work is performed, with an A.M. Best rating of A-VIII or higher (section 5).
• Subcontractors must carry the same insurance as the primary contractor.
• Baseline limits: general liability $1,000,000 per occurrence and $2,000,000 aggregate; auto liability $1,000,000 per occurrence; employer's liability $500,000 each accident, $500,000 employee disease, and $500,000 policy disease limit. Umbrella or excess liability depends on the contract (Appendices B through E).

Next steps

• See how Lanyrde organizes vendor certificates and flags details for review: Pricing and Audit sample
• Common questions: FAQ
• More on getting vendor certificates in order: Vendor COI readiness guide