More Incoterms & Transport Documents
Certificate of Insurance
Also known as: Insurance Certificate
A certificate of insurance is a document evidencing that cargo insurance is in force for a particular shipment under an open marine policy, stating the goods covered, the value insured, the voyage, and the perils against which they are protected. It gives the buyer, bank, or other interested party proof of coverage without disclosing the full master policy, and it is often required among the documents presented under a letter of credit. Should loss or damage occur, the certificate is the instrument the cargo owner uses to make a claim, making its accuracy and timely issuance important to the party bearing transit risk.
Read it for what it excludes, not what it promises. It is usually a bank's requirement rather than a customs one, and the exclusions are where the disappointment lives.
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Reviewed by a licensed customs broker. Definitions are general information, not legal or customs advice for a particular shipment. Duty rates, tariff programs and agency requirements change frequently.