It has become very popular for insurance companies to provide package policies for their clients, so effective dates need to be paid attention to.For example, the policy period will be noted on the declaration page of your policy showing inception date of 05/01/2018 and expiration date of 05/01/2019.When the sounds subsided, the client commented he wondered if it was someone we knew who was being rushed to the hospital. The first thing I had when I got home was a phone call from a client frantically needing to get in touch with me.I immediately called the number which was answered by a man who you could tell was under a great deal of stress.They collided and the son was killed and the wife was in serious condition in the hospital.“ My wife and son were involved in an accident early this afternoon and we couldn’t find our proof of insurance.
Effective date–Exact day and time when coverage takes effect.
Some policies have coverages available on a dated basis during the policy period.
Newly acquired vehicles may have coverage available upon purchase of the vehicle but it may need to be reported within a certain period of time after purchase in order for coverage to remain in force.
Some policies with farming exposure will have provisions for covering newly acquired equipment with that equipment being duly noted at audit time with premium being collected back to date of purchase and charge for in the new policy period.
New land or residence may also have coverage automatically applied during policy period which should be accounted for at renewal.