ACORD 25 - Cancellation Notice and Signature - Part 18 How to Complete a Certificate of Liability Insurance

The bottom right hand corner of the ACORD 25 form has wording on cancellation notices and a space for an authorized signature.

The cancellation notice clearly states that cancellation notice will be delivered in accordance with the policy provisions.

Older ACORD 25 forms had a space for the number of days cancellation notice to be entered. This led to many problems.

Many Certificate Holders demand longer cancellation notices than the policies provide.

Policies typically provide the notice required by law for the specific state and coverage for which insurance is being provided.

If you must provide a longer notice of cancellation you must have the insurance carrier endorse the actual policy to provide this.

Never use the Description of Coverage to modify the length of the cancellation notice.

Often the request for a longer notice is because the certificate holder is looking at an old manual someone put together years ago for their business stating all certificates should have that length of notice. I suggest you talk to the person at the certificate holder office to see if this is the case and help them bring their manual up to date.

The final item is the AUTHORIZED REPRESENTATIVE signature.

A few insurance carriers insist that an employee of the carrier sign the certificate. Most carriers allow their licensed agents to sign. You need to be sure you are following the specific carrier's rules. Check with your underwriter.

I hope this is helpful. The intent is to guide you through each section of the certificate of liability insurance.

Please feel free to share this with anyone it may help.