What part of an insurance policy specifies the parties and coverage included?

The declarations section of an insurance policy is crucial because it clearly outlines the fundamental details of the policy. This part specifies the parties involved—such as the insured and the insurer—and provides key information regarding the coverage provided under the policy. It typically includes the name of the policyholder, the policy number, the effective dates of coverage, the property or risks covered, and the limits of insurance.

Having this information in the declarations helps ensure all parties are clear on who is insured and what is covered, thus establishing a solid foundation for the terms of the insurance contract. This clarity is essential for both the insurer and the insured to understand their rights, obligations, and the scope of coverage. Other parts of the policy, like exclusions, conditions, and endorsements, serve different purposes; they elaborate on limitations, stipulate the terms under which the coverage operates, and modify the coverage, respectively, but do not provide the foundational identity and coverage details like the declarations do.