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This entry was published on 2015-07-31
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SECTION 502
Prohibitions
Insurance (ISC) CHAPTER 28, ARTICLE 5
§ 502. Prohibitions. In this state:

(a) With respect to a certificate of insurance evidencing that a
policy provides personal injury liability insurance or property damage
liability insurance, as defined in paragraphs thirteen and fourteen of
subsection (a) of section one thousand one hundred thirteen of this
chapter, no person or governmental entity shall wilfully require, as a
condition of awarding a contract for work, or if a contract has already
been awarded as a condition for work to commence or continue under the
contract, or if the contract has been performed or partially performed
as a condition for payment to be made under the contract, the issuance
of a certificate of insurance unless the certificate is:

(1) a form promulgated by the insurer issuing the policy referenced in
the certificate of insurance; or

(2) a standard certificate of insurance form issued by an industry
standard-setting organization and approved for use by the superintendent
or any other form approved for use by the superintendent.

(b) No person or governmental entity shall wilfully require the
inclusion of terms, conditions or language of any kind, including
warranties or guarantees, that the insurance policy provides coverage or
otherwise sets forth terms and conditions in a certificate of insurance,
if the insurance policy referenced by such certificate of insurance does
not expressly include such terms, conditions, or language. This
subsection shall not prohibit any person or governmental entity from
including minimum insurance requirements, coverage limits, terms, or
other conditions in the solicitation of bids as part of a competitive
process, and it shall not prohibit any person or governmental entity
from requesting, or an insurer or insurance producer from responding to
such a request with, clarification regarding the terms of the policy, or
endorsement thereto.

(c) A certificate of insurance shall not amend, extend, or alter the
coverage provided by the insurance policy to which the certificate of
insurance makes reference. A certificate of insurance shall further not
confer to any person any rights beyond those expressly provided by the
policy of insurance referenced therein.