The date on which an insurance policy begins providing coverage. No claims can be filed for events that occur before the effective date. It is listed on your declarations page and is sometimes different from the date you purchased the policy.
Related Terms
Binder
A temporary agreement that provides insurance coverage until a formal policy is issued. Binders are commonly used in property and auto insurance to ensure you are covered immediately while the insurer completes underwriting.
Declarations Page
The section of an insurance policy that summarizes key information including the policyholder name, covered property, coverage amounts, deductibles, premium, and policy period. Often called the "dec page," it is the first page of your policy and serves as a quick reference.
Policy Period
The span of time during which an insurance policy provides coverage, typically six months or one year. Claims are only covered for events that occur within the policy period. The start and end dates appear on your declarations page.