What is a conditional receipt?

This receipt means that the person can only be insured if he or she meets the standards of insurability and is given approval by the insurance company. A conditional receipt is what an insurance company provides after a person submits his or her application for insurance and the first payment.

What is a conditional insurance receipt?

This receipt says that the insured and the insurance company have a conditional contract that ensures that the insured is set to get certain benefits in case of contingencies during the application filing and medical examination. This means the insured can receive coverage if they comply with the insurer’s requirements.

What are conditional binding receipts?

The two functions of conditional binding receipts are as follows. Binding receipts means that your insurance policy will be effective when the insurer receives the first premium payment. When the insured dies of disease or injury, benefits will still be fully payable but attached with specific terms and conditions when the application is processed.