Don's Discussion

QUESTION:

Is a "witness" signature required on an ACORD 35 Cancellation Request/Policy Release form for it to be valid?

ANSWER:

You’ve all likely been there at one point or another…. You spend the time to get to know and quote a new prospect. The prospect elects to accept coverage from one of your carriers. The two of you complete an ACORD 35 and send it to the prospect’s former agent, who refuses to process the form, arguing the ACORD 35 isn’t valid because no one “witnessed” the insured’s signature.

So, does the ACORD 35 need to be signed by a witness in order to be valid? The short answer is no. Most documents and contracts, including the ACORD 35, don’t require a “witness” signature to be valid and enforceable, even if the document – such as the ACORD 35 – includes a signature line for a “witness.” In addition, the official ACORD 35 instruction form simply states that “… when this document is used as a Policy Release, an insured should have a witness sign and date the form….” The primary function of a having someone “witness” a signature is for evidentiary purposes – meaning, if necessary, the witness can later corroborate they were physically present and actually saw the party sign the document. This is likely why the ACORD 35 instructions suggest the insured “should” have a witness sign and date the form.

WHO CAN BE A “WITNESS”?

Though not required, if you decide to have the ACORD 35 signed by one or more witnesses, the witness(es) should:

▲ Be at least 18 years of age

▲ Be of sound mind – and not under the influence of drugs or alcohol

▲ Not be a party to the document (e.g. the insureds)

▲ Be physically present when the form is signed by the insured(s)

While an individual insured cannot “witness” his or her own signature, it is permissible for a producer to sign the cancellation request/policy release form as a “witness.” Just remember the producer would need to actually see the insured sign the form (meaning the producer shouldn’t send the form to the insured for signature via regular mail, email, or fax and then sign as a witness after the insured signs and returns the form to the producer).

This document is not a legal opinion and should not be relied upon as such. The intent of this document is to provide a general background regarding the topic or topics discussed, not to provide legal advice. Producers and agencies should consult an a orney regarding specific situations and specific questions with respect to the topic or topics covered in this document. Neither the Insurance Agents & Brokers nor any of its employees shall be responsible for any errors or omissions regarding any statements made in this document, nor any errors or omissions regarding any statutes, regulations, court rules, and/or any other government documents cited in this document.