Actual delivery of an insurance policy means the transfer of the policy by personally handing over the instrument to the insured. This begins the free review period of the insured, which is a period of 10 days in which they can decide if they want to keep the policy. Electronic versions of insurance policies can be made available on the Internet for policyholders to print on personal computers, and these will be considered duly delivered if the insured has given their consent. A delivery receipt is a document that the holder of an insurance policy signs after successful delivery, informing the insurance company that the delivery did not fail and that the customer now owns the policy.
The effective date of the policy and whether coverage has started or not may depend on the type of receipt received. Nothing in the Insurance Act or regulations enacted under it prohibits an insurance company from issuing and delivering an insurance policy to an insured person over the Internet if they have consented to receive electronic documents. As a business owner, it is important to understand where employer coverage ends and starts, and if there is a coverage gap between the employer's policy and your personal car insurance policy. Auto insurance companies see business use as a greater risk than personal use and charge higher rates accordingly.
Sometimes, a person seeking insurance may receive a conditional receipt when applying for an insurance policy. If you own a small business, such as a restaurant or store, and rely on employees to deliver products to their personal vehicles, both you and your employees may need certain types of commercial insurance. It is important to talk to your business insurance agent about a business owner's policy (BOP) and what types of coverage to add. Understanding what it means when an insurance policy is delivered is essential for any business owner or driver.
The delivery of an insurance policy begins the free review period for the insured, during which they can decide if they want to keep it. Electronic versions of policies can be made available on the Internet for printing on personal computers, and these will be considered duly delivered if consent is given. A delivery receipt informs the insurance company that the delivery did not fail and that the customer now owns the policy. It is important to understand where employer coverage ends and starts, and if there is a coverage gap between employer's policy and personal car insurance policy.
Business owners should talk to their business insurance agent about a BOP and what types of coverage to add.
