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State RegulationsCA specificVerified · outline & fact-checked · Sep 2026Difficulty 1/5

Under California Insurance Code Section 380, an 'insurance policy' is defined as:

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Answer & full 3-part explanation (select an option above, or peek)

Why A is correct

Section 380 defines a policy as a written contract of insurance, or written evidence of it. The written instrument is a hallmark of insurance: the policy document contains the insuring agreement, conditions, and exclusions. An application, by contrast, is the offer; a binder is temporary written evidence of coverage; and the policy itself is the complete written contract embodying the parties' agreement.

Why the other options are wrong

  • B) An oral agreement is not a policy; Section 380 requires the contract to be written.
  • C) A request for coverage is an application, which precedes and forms the basis of the policy, not the policy itself.
  • D) A premium receipt evidences payment, not the terms of the insurance contract.

Memory hook

Policy = the paperwork that IS the contract. Application = the offer that starts it.

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