ACORD 75 Insurance Binder | Fillable PDF

Say you’re buying a building. Your lender wants proof that you have insurance today, but your policy won’t be ready for a few weeks. The ACORD insurance binder covers that gap.

An ACORD binder is a real contract, and the top of the form says so. It calls the binder a temporary insurance contract. A certificate of insurance is different, because it only shows coverage you already have.

Only the insurance company can write a binder, or an agent the company has given the power to start coverage.

Agents use a binder in four common situations.

You’re waiting for the policy

The company hasn’t finished writing it, but you need proof of coverage now.

A lender is about to close your loan

Lenders want proof of insurance before they hand over the money. The form has spaces for the lender’s name and your loan number.

You’re changing insurance companies

The binder keeps you covered while the new company writes your policy.

Your policy is about to run out

The form has a box for extending coverage on an old policy. Write the old policy’s number next to it.

Two pages, in this order.

1. 1

   Agency, company, and binder number

   Page 1 starts with the agency, the insurance company, and the binder number.

2. 2

   Start and end dates

   Each one has a date, a time, and AM or PM. The end time can also say 12:01 AM or noon. The binder starts and ends at the exact time you write, so read both lines twice.

3. 3

   The insured and what you’re covering

   Write the insured’s name and mailing address. Then describe what you’re covering. That could be the work, the vehicles, or the property. Say where it is.

4. 4

   Coverages and limits

   This table has one row for each kind of insurance, like property, liability, vehicles, or workers’ comp. Check the rows the binder covers. Then fill in the deductibles and limits.

5. 5

   Special conditions, fees, and price

   There’s room for special conditions and other coverages. Below that, add the fees, the taxes, and the estimated total premium, which is the price of the insurance.

6. 6

   Name and address

   Use this box for a lender or anyone else with a stake in the policy. Check what they are. The choices are additional insured, loss payee, mortgagee, or lender’s loss payable. Then add the loan number.

7. 7

   Who signs

   The person who writes the binder for the agency or company goes here.

8. 8

   Page 2: The fine print

   Page 2 explains the rules. The company covers what page 1 lists, and the policy’s terms apply. Either side can cancel. When the policy arrives, it replaces the binder. Notices for a dozen states and territories come after that.

There’s no one answer. The end date and time on page 1 tell you when the binder stops. It also stops when your policy is ready, even if that’s sooner. Some states set a limit. Arizona, Maryland, and Oregon say 90 days. Montana does too, unless the company agrees in writing to a longer binder. If your policy never arrives, your coverage stops when the binder ends. Call your agent a few days before the end date if you’re still waiting. And if no policy ever replaces the binder, the form says the company can charge you for the time it covered you.

A dozen states and territories add their own notice on page 2. These are the ones you’re most likely to notice.

Maryland

Within 30 days of getting the binder, ask your agent or the company for the policy or a certificate.

Oregon

To go past 90 days, you need written permission from the Director of the state’s Department of Consumer and Business Services.

Montana

The binder ends when the company writes the policy, or after 90 days, whichever comes first. The company can agree to a longer binder in writing.

Florida

The company doesn’t have to send a notice when it cancels or doesn’t renew a binder, unless the binder lasts more than 60 days. Auto binders are different. They get 5 days’ notice, unless a policy or a new binder from the same company takes over.

Michigan

The company has 45 business days from the start date to check that you qualify for coverage.

California

If the coverage is $1,000,000 or more, the form’s title changes from Insurance Binder to Cover Note.

Nevada

Someone who won’t accept a binder under $1,000,000 when you need to show proof can face a $500 fine. They also owe you for any real damage.

Delaware

A lender has to accept a written binder as proof of insurance if it includes a few things. It must name the borrower and the lender, describe the property, and give the coverage amount. It must promise 10 days’ written notice before cancellation. It must also show proof of payment, unless it renews a policy after closing.