Published September 14, 2021 • 3 minute read
Collecting COIs for Business
To mitigate risk, you need to collect valid COIs from all your vendors, subcontractors, and/or tenants. The BCS App makes COI collection quick, easy, and painless. Vendors can submit their documentation directly through the app, so you don’t have to sort through burdensome paper copies or develop a complex organizational scheme to keep track of them all. Since your paperwork is housed on the cloud, you can access the critical information you need anytime, anywhere.
Correcting COIs for Compliance
Most people stop after they collect a certificate of insurance. They file it away and think their work is done. Unfortunately, they may find out too late that this approach is wrong. Of the thousands of COIs BCS’s team of experts reviews, 7 out of 10 are incorrect. This may include wording mistakes, insufficient limits, and even missing or expired policies. While overlooking these issues could seem like a simple clerical mistake, it could ultimately spell disaster if an incident occurs.
That’s why the next step after collection is to review and correct the COI. You must look over each document carefully to make sure it is compliant with your agreed-upon requirements, including coverage limits, additional insured endorsements, primary and noncontributory endorsements, and other terms and conditions. You should also analyze the document for signs of forgery, since some unscrupulous contractors or vendors may manipulate their paperwork to avoid paying for the level of coverage specified in the contract. If you find any deficiencies, you need to reach out to the vendor and/or agent to make sure these problems are corrected.
All this may sound like a lot of work, but it doesn’t have to be. With our full-service solution, you’ll have access to a team of experienced compliance analysts to review and correct COIs on your behalf. Check the status of the review whenever you want, using the BCS App.
Protecting COIs & Monitoring Expiration Dates
Once you have collected, reviewed, and corrected a COI, you still aren't home free. You have to make sure you stay on top of expiration dates and renewals to limit any lapses in coverage.
Monitor expiration dates so that you can ask for renewals proactively. It is best practice to start requesting a renewal a week or two before the expiration date, to ensure you get the new COI promptly. You can’t assume a vendor will automatically send out renewals once their policy has expired, because that could leave you at risk. If you only work with a few contractors, monitoring expiration dates and updating policy documentation can be a hassle. However, if you work with dozens or even hundreds of vendors, suppliers, contractors, and/or tenants, it can quickly skyrocket into a full-time project that requires a dedicated team.
Luckily, that doesn’t mean you have to blow your budget hiring new employees, or craft an intricate web of calendar reminders to avoid missing critical dates. The BCS App has built-in automation features to send renewal notices automatically. You can avoid the time and effort all while enjoying unmatched protection.
The BCS App comes standard with both our self-service and full-service solutions. Watch our Self-Service COI Tracking Demo to see the app in action! For the highest degree of protection, also consider BCS’s financial and regulatory screenings, which cover more than 600 global databases.