Paul “Paolo” Mozzicato, based in Glastonbury, Connecticut, serves as a risk advisor with Smith Brothers, bringing more than a quarter century of experience as a business principal to his work advising companies on insurance and risk management. He holds licenses as a life, health, property, and casualty producer, along with Series 63, Series 65, and Series 7 credentials, and he focuses on construction, real estate, transportation, and manufacturing clients navigating workers’ compensation, fleet auto, disability, and key person life coverage. He also serves as a principal in family businesses, including Mozzicato Real Estate, which manages commercial and residential properties, and previously co-owned an award-winning bakery, giving him a broad perspective on how contracts and business obligations can shift a company’s coverage needs. A Boston University economics graduate, Mr. Mozzicato is active with the South Hartford Business Alliance and supports the Hometown Foundation.
Companies sign contracts to lease space, work with clients, hire vendors, start projects, apply for loans, or build partnerships. In those situations, another party may ask to verify insurance before signing or starting work. That makes insurance review part of the contract process because an agreement can require specific coverage, limits, policy terms, or proof of insurance before the company performs the work.
The issue is not simply whether the company already has insurance. In this context, insurance needs include the coverage types, limits, certificates, and related requirements connected to the agreement. A gap can appear when the business accepts an obligation that its current insurance program does not adequately match.
Insurance limits are one common example. A company may already carry liability coverage, but a contract can require limits that differ from the company’s existing policy. If the agreement exposes the company to obligations above those available limits, that gap should be identified and addressed before signing.
Contracts may also ask one party to name another party as an additional insured. In plain terms, an additional insured is a person or business the policy names for some liability protection. A company should confirm whether that status is available for the requested party and whether the request fits the business relationship described in the contract.
Indemnity language raises a different issue. An indemnity or hold-harmless provision can make one party assume responsibility for certain losses or claims connected to the agreement. That promise can shift responsibility between the parties, but it does not automatically mean the company’s insurance policy will cover every contractual obligation.
Coverage type can create another mismatch. A contract may require general liability, commercial auto, workers’ compensation, professional liability, property insurance, or another form of coverage depending on the work involved. The company should match each requirement to the exposure created by the agreement rather than treat it as a routine insurance checkbox.
Certificates of insurance can make this review look simpler than it is. A certificate summarizes selected policy information, such as coverage types, limits, policy dates, and additional insured details. It provides evidence of insurance, but it is not the policy or a policy change. It also does not amend, extend, or alter the coverage the policy provides.
Timing matters because insurance documents and coverage limits may need to be reviewed before a contract is approved. A required certificate, liability limit, or coverage change may not match the company’s existing insurance program. A consistent review process can identify those gaps before the agreement is signed and becomes binding.
A structured contract review can function as an internal control within an organization. GAO’s Green Book defines internal control as a management process used to support objectives related to operations, reporting, and compliance, although its standards are written for federal agencies and may only serve as a broader framework elsewhere. In a contract approval process, legal and finance teams may review wording, liability, budget, and risk before the agreement is signed.
Leaders also need to weigh the business value of the agreement against the obligations it creates. A contract with attractive revenue can still involve added insurance costs, documentation duties, indemnity terms, or coverage requirements. That decision requires more than a yes-or-no insurance check because it affects the company’s costs, commitments, and ability to perform the work.
Contract terms can turn insurance review into a business approval step, not just an administrative request. When a company compares those terms with its actual insurance program, leaders can see whether the agreement requires more protection, different documentation, or a change before signing. That review helps the company accept work with a clearer understanding of the obligations attached to the deal.
About Paul “Paolo” Mozzicato
Paul “Paolo” Mozzicato is a Glastonbury, Connecticut-based risk advisor with Smith Brothers, holding licenses as a life, health, property, and casualty producer as well as Series 63, 65, and 7 credentials. He also serves as a principal in Mozzicato Real Estate, managing commercial and residential properties, and previously co-owned a Hartford-area bakery. A Boston University economics graduate, he is active with the South Hartford Business Alliance and supports the Hometown Foundation.
