What determines the effective date of coverage under the Policy period, Coverage Territory condition?

The effective date of coverage under the Policy period, Coverage Territory condition is determined by the standard time at the insured's stated mailing address. This reflects the principle that coverage begins when it is in effect at the location where the insured operates, which in this case is indicated by their mailing address.

Establishing the effective date based on the insured's location ensures consistency in the application of coverage. It is practical, as it aligns the start of coverage with the operational aspects of the insured's business, including local time considerations.

Using the insurer's headquarters time or a fixed date set by the insurer for effectiveness would not take into account the local operational context of the insured. Moreover, basing it on the business opening date could lead to misunderstandings about when coverage is active, especially if business operations or activities start prior to the formal opening. Thus, taking into account the standard time at the insured's mailing address is the most logical and effective approach to determining the coverage dates.