A subcontract requires insurance certificates before work starts. What does a certificate of insurance normally evidence?
Correct Answer
C) Specified insurance coverage information as of the certificate date
A certificate of insurance evidences coverage information as of the certificate date; it does not itself change contract terms or prove final acceptance. Other choices overstate the certificate's effect.
Why This Is the Correct Answer
A certificate of insurance evidences coverage information as of the certificate date; it does not itself change contract terms or prove final acceptance. Other choices overstate the certificate's effect.
Why the Other Options Are Wrong
Option A: Apply final acceptance of all work to the certificate of insurance condition
In procurement and contracting, Final acceptance of all work is the wrong selection for Certificate of insurance: the choice would not get the project to Specified insurance.
Option B: Classify the condition as a change to the contract sum
The trap in B is A change to the contract sum. That selection is wrong because the option does not produce the required Certificate of insurance outcome, Specified insurance.
Option D: Classify the condition as a waiver of every contract requirement
Choice D (A waiver of every contract requirement) is rejected because it removes the controlling Certificate of insurance requirement instead of meeting it.
Memory Technique
File certificate of insurance under a gate: condition first, number or duty second, answer Specified insurance coverage information as of the certificate date.
Reference Hint
Open NASCLA Contractors Guide to Business, Law and Project Management, 14th Ed.; use the index entry or section for "Insurance certificate purpose" to confirm that A certificate of insurance evidences coverage information as of the certificate date; it does not itself change contract terms or prove final acceptance.
More NASCLA Questions
Bid instructions require bid security with each sealed bid. Which purpose should the estimator associate with that requirement?
A wood deck surface has 320 sf of coverage. Boards have a 5-1/2 in. actual face width, and the order includes an 8 percent cutting allowance. What linear footage is closest?
Using the dimensions shown for the stabilized construction entrance, what is the plan area?
A reroof area requires 14,720 sf of rigid insulation. Boards are 4 ft by 8 ft, and the order includes 5 percent waste. How many boards are needed?
Two addenda revise the drawings before bid day. What must a responsive bidder normally do with those addenda?
A utility trench is 180 ft long, 3 ft wide, and 7 ft deep with vertical sides inside a trench shield. What excavation volume is required?
A 120 ft long Type C trench is cut with a 4 ft bottom width and a 6 ft depth. If side slopes are 1-1/2 horizontal to 1 vertical, what excavation volume is closest?
A storm pipe run needs 240 ft of bedding, 4 ft wide and 6 in. thick. Including a 10 percent ordering allowance, how many cubic yards of bedding aggregate are needed?
A mass excavation produces 1,180 loose cubic yards of material for off-site disposal. End-dump trucks can haul 18 loose cubic yards per trip. What truck count is required?
An asphalt-shingle roof has a slope of 3:12. Under the IBC low-slope asphalt-shingle provisions, what underlayment arrangement is required?
People Also Study
Business & Financial Management
120 questions · 70% to pass
Contract Administration
60 questions · 70% to pass
Project Management
60 questions · 70% to pass