Trying to track all of your incoming insurance certificates yourself can be time-consuming and costly. But the consequences of not verifying insurance coverage can be even more expensive. Several questions should be considered when setting compliance standards.
First, what level of compliance will be required? If only high-risk third party verification is required, what definition will apply? It is important to determine which vendors are high-risk and develop processes accordingly.
Once the level of compliance has been determined, you will make a decision on who will be responsible for tracking incoming insurance certificates. Will there be one central contact within the company to receive all certificates, or will the department who contracts with the vendor be responsible? You may consider having the risk management department handle all high-risk third parties, while other internal departments handle more routine insurance certificates.
It is important to provide adequate training to the person tracking the certificates, so they can determine if the vendor is in compliance with company standards.
It the volume of tracked certificates is high, consider an insurance certificate software like Certs Made Simple (CMS).