Insurance Review Checklist Property Liability Auto
A comprehensive checklist and administrative workflow for periodic review of property, general liability, and commercial auto insurance across all active vendors and internal fleet operations. Ensures coverage limits remain adequate and certificates are current.
This policy establishes a standardised, mandatory insurance review checklist applicable to all property (buildings, equipment, owned inventory), general liability, and commercial auto policies associated with the organisation’s supply chain and internal fleet. The goal is to verify that every vendor providing goods or services on-site, every leased/owned facility, and every company vehicle carries current coverage with minimum limits as set by the Risk Management Department. Non‑compliance may result in vendor suspension or personal liability for operating managers.
Applies to all Procurement Managers, Facility Supervisors, Fleet Coordinators, and any employee with delegated authority to enter into contracts involving physical property, leased assets, or vehicle use. All existing vendors and contractors must be reviewed quarterly; new vendors require pre‑approval via this checklist before any PO is issued. Organisational owned assets (buildings, vehicles, high‑value equipment) are reviewed on the same quarterly cycle by the Risk Management Department. This procedure does not cover employee personal auto plans or workers’ compensation – those are handled under separate policies.
- Property coverage minimum: $2,000,000 per occurrence for owned buildings and major equipment; $500,000 for leased premises improvements. Contents must be insured at replacement cost.
- General liability minimum: $5,000,000 aggregate; $2,000,000 per occurrence. Vendors performing hazardous work (roofing, chemical handling) must carry $10,000,000 aggregate.
- Commercial auto liability minimum: $5,000,000 combined single limit. All owned/leased vehicles must be listed on a business auto policy; personal auto policies are not acceptable for company vehicle operation.
- Umbrella/excess liability: vendors with annual contract value > $250K must carry an umbrella policy with at least $5,000,000 in limits above primary.
- Certificates of Insurance (COI) must be issued directly from the carrier, include the organisation as additional insured, and contain a 30‑day cancellation notice clause. Expired COIs are grounds for immediate suspension.
- Any waiver of these minimums must be approved in writing by the Chief Risk Officer and documented in the vendor file with justification and alternate risk control measures.
- Procurement Manager: leads the quarterly review; collects and verifies COIs; flags expired or insufficient coverage; escalates to Risk Management for non‑compliance.
- Risk Management Officer: sets minimum coverage thresholds; approves waivers; conducts spot audits of 10% of vendor files each Q; maintains master insurance schedule.
- Facility Supervisor: ensures property insurance schedules are updated for new builds, renovations, or equipment acquisitions; reports any claims incidents within 24 hours.
- Fleet Coordinator: maintains vehicle registration and insurance records; verifies driver qualifications; processes auto claims documentation.
- Controller / Finance: reviews insurance cost allocation; confirms that premium payments are current for owned policies; signs off on quarterly risk report.