Letter of Good Standing

“What is a Letter of Good Standing?”

A Letter of Good Standing is an official document that proves your company is registered and compliant with COID (the Compensation for Occupational Injuries and Diseases Fund)

COID is a government insurance fund that covers your employees if they…

  • Get injured
  • Fall ill
  • Pass away

… due to work-related duties.

The Letter of Good Standing shows that your business is up to date with its COID responsibilities and is covered in case something goes wrong on the job.

“Why is it important?”

If your business does any kind of contract work (especially in industries like construction, security, cleaning, or logistics) a Letter of Good Standing is often required before you can:

  • Start work on a site
  • Apply for government tenders or private contracts
  • Renew service agreements
  • Prove your business is legally compliant and insured

Without it, you may be seen as a risk, and clients can legally turn you away.

“When does my Letter of Good Standing expire?”

The Letter of Good Standing is usually valid for 12 months, but it depends on:

  • Whether you’ve submitted your Return of Earnings (ROE)
  • If you’ve paid your annual COID assessment fees
  • Your company’s ongoing compliance with the Compensation Fund

If anything is outstanding (like payments or paperwork) your letter can expire early, and your coverage will be suspended until you're up to date.

Every year, you will need to renew your letter of good standing.

“What happens if I don’t have a Letter of Good Standing?”

Without a valid Letter of Good Standing…

  • You could be disqualified from tenders or site work
  • Your company may be seen as non-compliant or uninsured
  • If an employee gets injured on the job, you could be held financially responsible
  • Clients may choose another service provider who is compliant

“How do I get a Letter of Good Standing?”

To qualify for a Letter of Good Standing, your business must…

  1. Be registered with COID (the Compensation Fund)
  2. Submit your annual Return of Earnings (ROE)
  3. Pay your COID assessment fees

Be compliant with all COID requirements

Govchain can help you get a letter of good standing online.

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