Insurance Binder??

[01sapphirebob]

Has anyone ever been involved with this? I got a letter today for something about an insurance binder with the new toy. My premium is paid up though. Any ideas... I'm starting to worry that they will not cover the new toy

 

[RAYSIR]

An insurance binder normally means you are binded for coverage and the policy is on it's way as soon as it's typed up. The binder comes from the agent or broker then he notifies the ccompany of the insurance and they send the policy usually within a 10 day period. Usually you won't get a binder if they won't insure you. They would tell you not insured before a binder would be sent.

 

[01sapphirebob]

Thanks for the info!!

 

[JonB]

Has anyone ever been involved with this? I got a letter today for something about an insurance binder with the new toy. My premium is paid up though. Any ideas... I'm starting to worry that they will not cover the new toy

This is a GOOD thing!

When you, or your LENDER, tells your insurance company your VIN #, the insurance company sends you a BINDER as proof of insurance coverage. The Binder "binds" the INS COMPANY! They are promising you and the lender and the cop-world that XYZ insurance is 'bound' to provide coverage as you have verballty arranged.

Financing the car can trigger a BINDER....or your call to your agent

The Binder is superceeded by the eventual POLICY