Insurance Coverage Binder

An Insurance Coverage Binder is a temporary agreement between an insurance company and a policyholder, providing evidence of coverage pending the issuance of a formal policy. The binder typically includes the essential terms of the coverage, such as the types and amounts of insurance, the deductibles, and the premiums, as well as any conditions or limitations. Insurance coverage binders are often used in time-sensitive situations, such as real estate closings or construction projects, to allow the policyholder to demonstrate proof of insurance before the policy is finalized.