Lenders & Contracts · Insurance Term
Certificate Holder
Definition
A certificate holder is the person or company named on a certificate of insurance as the one receiving proof of your coverage, such as a landlord, lender or client. Being the certificate holder alone does not give them coverage under your policy.
In Plain English
The certificate holder box appears at the bottom of the ACORD 25 and ACORD 28. It shows who requested the certificate and where it was sent. It is a delivery address, not a grant of rights.
If the certificate holder needs protection under your policy, they must be added by endorsement, for example as an additional insured on liability or as a mortgagee or loss payee on property. The certificate can then report that status.
Many certificate holders want to be notified if your policy is canceled. Those rights exist only if the policy or an endorsement provides them, or the law requires them. A notice of cancellation promise on a certificate alone does not create them.
Not sure how your policy handles this? Have us review it, or get a quote.
Example
Hypothetical: a tenant lists the landlord as certificate holder on an ACORD 25 but never adds an additional insured endorsement. When a customer sues both, the tenant's insurer defends the tenant but not the landlord, because the landlord was only a certificate holder.
Why It Matters for Texas Property Owners
Texas Insurance Code §1811.155 says a person has a legal right to notice of cancellation, nonrenewal or material change only if named in the policy or an endorsement and the policy, endorsement or Texas law requires that notice. A certificate cannot alter those notice terms.
What to Watch For
- If you need coverage, ask for the endorsement, not just certificate holder status.
- Check that the certificate holder's legal name and address are correct.
- Ask whether you are entitled to cancellation notice under the policy.
- Request updated certificates at every renewal.
Common Questions
Is a certificate holder an additional insured?
No. Additional insured status requires a policy endorsement.
Will I be notified if the policy is canceled?
Only if the policy, an endorsement or the law gives you that right. Ask the insured to add a notice endorsement if your contract requires it.
Sources
- Texas Insurance Code §1811.155 (notice rights)
- Texas Insurance Code §1811.152 (certificate does not change coverage)
Last updated October 14, 2026 · Primesure editorial team · How We Write