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Cover Note

Cover Note


Cover Note — (1) A document used to provide evidence of insurance if policy documents are not immediately available. (This term is most commonly used outside the United States.) It generally shows the name of the insurer and insured, brief details of the property or risk insured, the coverage, and the total amount of insurance. It is similar to a "binder" in U.S. insurance parlance. (2) Abinding reinsurance confirmation in the form of an "adhesive contract"—that is, not requiring signature by the ceding company to be valid. Operates like a binder/declarations page, providing details about the type of reinsurance, form of contract, lines of business reinsured, effective date, cancellation provisions and territory, commissions, and exclusions.

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