Final answer:
Coverage is typically effective either on the insurer's approval with initial premium payment or on policy delivery with such payment, whichever is later. In the provided scenario, coverage likely began on January 22, contingent on premium payment and health status confirmation.
Step-by-step explanation:
The question concerns the effective date of insurance coverage. This typically relates to policies within the health insurance or life insurance fields, which are aspects of business studies with a focus on insurance regulation and practice. The specific details provided indicate that an application for insurance was submitted and a medical exam was completed, but without initial premium payment.
The standard procedure is that coverage becomes effective either upon the insurer's approval of the application and receipt of the initial premium, or on the date of policy delivery with the requirement of premium payment and statement of good health.
Therefore, in the scenario provided, coverage would effectively begin on the latter of the following two dates: the date when the insurer issued the policy, or the date the policy was delivered to the producer, assuming the initial premium was paid and there were no changes in the insured's health.
In this case, since the policy was issued on January 20 and delivered on January 22, coverage would most likely be effective on January 22, but this is contingent upon the payment of the initial premium and no change in the insured's health status. It is important to check the actual insurance policy or to consult with the insurer for the specific terms and conditions.