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Certificate of Insurance

All contractors/vendors wishing to do business with Ferguson Township must provide a Certificate of Insurance (COI) to Ferguson Township a minimum of 5 business days prior to contract start date.
The following requirements must be incorporated in every Certificate of Insurance:

1. Required insurance should be written on a per occurrence basis 

2. All Certificates of Insurance shall list Ferguson Township as an “Additional Insured” on a primary basis with regard to any other insurance available to the Township. [Note: this cannot be required for workers’ compensation insurance, and may not be practical or feasible for other types of insurance such as professional liability insurance. The Township Solicitor shall be consulted whether to waive the requirement that the Township be named as an additional insured on a particular insurance policy.] 

3. Notice of Cancellation. All contractors shall provide a minimum of thirty (30) days advanced written notice of cancellation, nonrenewal or reduction of limits of policies required under a Certificate of Insurance. 

4. All Certificates of Insurance shall contain the following information: 

a. The name and address of the producer/agent for the policy. 

b. The phone and fax numbers for that producer/agent.

c. The name of the insurance company and the insurance policy number(s). 

d. The policy period.

e. The name and address of the insured. 

f. A description of the coverage(s) provided.

g. The policy’s limits. 

h. The signature of the producer/agent who authorized the COI issuance with the date of the issuance.


5. A Certificate of Insurance must be provided for each and every job performed by any and all contractors. Certificates of Insurance should be originals. Each certificate must extend to the scope of the proposed project and a new Certificate of Insurance must be obtained for each and every job. For contracts that encompass on demand or scheduled services a single certificate of insurance that provides coverage for the entire contract period may be provided in lieu of individual certificates of insurance for each occurrence of services. For example, an annual HVAC preventative maintenance or repair contract that provides 4 services or inspections of the HVAC systems over a one year period would provide an annual COI. On the other hand, a plumbing contractor that provides a single service to repair a water fountain would provide a COI for that specific service.

a. Responsibilities for subcontractors. Subcontractors should be required to furnish COI’s directly to the municipality. The contractor, however, should also be contractually obligated to ensure that subcontractors maintain the requisite levels of insurance.

6. Types of Coverage and Minimum Amounts

• Workers’ compensation insurance: meets the current requirements of Pennsylvania law.

• Commercial General Liability insurance:

General Aggregate: 
Minimum $500,000; up to $2,000.000

Products/Completed Operations Aggregate: 
Minimum $500,000; up to $2,000.000

Each Occurrence: 
Minimum $250,000; up to $1,000,000

Personal & Advertising Injury: 
Minimum $250,000; up to $1,000,000

There can be no endorsement limiting coverage for explosion, collapse or underground work.

• Automobile Liability insurance:

Each Accident: 
Minimum $300,000; up to $1,000,000

Other types of insurance coverage should be required when appropriate for a particular service provider. For example, entities that provide professional services (e.g. legal, accounting, investment advising) should be required to maintain professional liability insurance. For these types of insurance, a Claims Made policy form will be considered.

7. Insurer’s Licensing and Rating.

The entity’s insurance policy shall be issued by an insurer licensed to provide insurance in the Commonwealth of Pennsylvania. The insurer shall be rated “A-” or better by A.M. Best Company.

8. Recordkeeping

These certificates of insurance shall be maintained in a single central location and should be kept on file for a minimum of five (5) years after the completion of each project/activity.

To download a copy of this policy, click here.