A woman applies for a life insurance policy on herself and submits the initial premium with the application. What kind of receipt was used?

When a woman applies for a life insurance policy on herself and submits the initial premium with the application, the type of receipt that is relevant in this context is a conditional receipt. A conditional receipt is issued by the insurer that provides temporary coverage, depending on certain conditions being met, typically the approval of the application and the insurer’s acceptance of the risk.

This type of receipt acknowledges that the applicant has provided the initial premium and that coverage may begin immediately, but it is contingent on the insurance company's underwriting process. If the insurer ultimately approves the application, the coverage is effective from the date of the application or the receipt, whichever is appropriate; however, if the application is denied, the coverage does not take effect, and the premium is usually refunded.

Other types of receipts, such as a binding receipt, would offer immediate coverage regardless of the outcome of the underwriting process, which is not the case in this situation. A receipt of payment may simply acknowledge that payment was received without implications about coverage, and a final receipt typically indicates that the policy has been fully issued and that coverage is in force without conditions. Thus, in the scenario described, a conditional receipt is the most accurate characterization of the situation following the application and submission of the initial premium.