Backdating

Backdating,

Definition of Backdating:

  1. When the effective date of a policy is earlier than the application date. This is done so premiums can be calculated for a younger age than the insureds actual age.

  2. Backdating is the practice of marking a document, whether a check, contract, or another legally binding document, with a date that is prior to what it should be. Backdating is usually disallowed and can even be illegal or fraudulent based on the situation. Sometimes though, backdating can be acceptable; however, the parties involved must agree to it.

  3. Put an earlier date to (a document) than the actual one.

  4. Consider the following examples of common backdating scenarios that are not allowed:.

How to use Backdating in a sentence?

  1. Backdating is usually not allowed and even can be illegal or fraudulent in some situations.
  2. However, there are times when backdating can be acceptable, but the parties involved must agree to it.
  3. They backdated the sale documents to evade a court order.
  4. Backdating is the practice of marking a check, contract, or other legally binding agreement with a date that is prior to the current date.

Meaning of Backdating & Backdating Definition