Question

Application complete, premium paid, receipt issued. When does the policy go into effect?

A) Upon receipt of the application
B) After a medical examination
C) After underwriting approval
D) On the policy's renewal date

Answer 1

The policy goes into effect after underwriting approval.

Step-by-step explanation:

The policy goes into effect after underwriting approval. This means that the insurance company evaluates the application, assesses the risk, and decides whether to approve or deny coverage. Once the underwriting process is complete and the application is approved, the policy becomes effective.