Designation of Company and Effective Date of Coverage

Designation of Company and Effective Date of Coverage Upon receipt of the application for insurance properly completed and the deposit specified in the Plan of Operation, and if the application form shows that the applicant is eligible for coverage, the Plan shall so advise the applicant and producer of record and shall state in such notice the date when the coverage shall become effective. The Plan shall give written notice to the CAIP servicing carrier of the name of the applicant, the producer of record, the coverage to be afforded and the effective date of coverage. If for any reason, the applicant refuses to accept the policy, the Plan or CAIP servicing carrier shall retain the premium as allowed in the Plan of Operation or Plan Manual. The Plan shall forward to the CAIP servicing carrier, a copy of the application form, the notice of the effective date of coverage, and the deposit, same to be credited by the CAIP servicing carrier against the policy premium.