Once you start talking about Insurance, a Certificate of Currency is a phrase you’ll hear often. But if you haven’t had to use one before you might not know what it is – its name certainly isn’t self-explanatory!

A Certificate of Currency (occasionally referred to as a Certificate of Insurance) is a document that proves you hold a current insurance policy. It includes important details including:

• The insurance company your policy is held by

• The type of policy and policy number

• Policy period (start date and expiry date), date of issue, and policy limits (financial level of cover)

• Your name (the Insured) which may be you personally or your business/organisation

Depending on the type of policy it may also include things such as:

• The address that the policy covers

• Any interested parties (e.g. a bank for something purchased with a loan)

• Your broker’s details

• Major policy exclusions (what isn’t covered)

You will often need to produce a Certificate of Currency if you are:

• Purchasing a property. Depending on where it is, you may be required to insure the property from the day you exchange (sign contracts and pay the deposit), not just from the settlement as many people think

• Leasing a commercial building

• A business or organisation submitting tenders, funding/grant applications, etc.

• Taking on a job for a client (individual or business) – they make ask you for your Certificate of Currency to prove that you have the insurance to cover your work

• Purchasing a vehicle with finance

• Applying for or renewing professional licenses

A Certificate of Currency can be provided as soon as you agree to take out the Insurance Policy, however often they are not provided until payment of the policy has been made. You will not be able to claim against the Policy unless the premium has been paid even if you were issued with the Certificate of Currency.

Your Insurance Broker or Insurance Company can provide you with your Certificate of Currency. Store it in a safe place in case you need it. It can be re-issued, however sometimes Brokers need to get the Certificate of Currency from the Insurance Company which can cause delays if it’s outside of business hours.

If you need a new insurance policy in order to get a Certificate of Currency, it is important to start the process as soon as possible. It is vital that your Broker understands your individual circumstances to be able to review policies and provide you with options that have the right type of cover. Different insurance companies will have different requirements and you may not always be able to take out a policy instantly.