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🖊️ '''Signing date''' is the date on which the parties to an insurance transaction formally execute the principal transaction documents — most commonly the [[Definition:Share purchase agreement (SPA) | share purchase agreement]], [[Definition:Binding authority agreement | binding authority agreement]], or [[Definition:Reinsurance treaty | reinsurance treaty]] — thereby committing themselves to the deal's terms, even though the transaction may not yet be complete. In insurance [[Definition:Mergers and acquisitions (M&A) | M&A]], the signing date marks the moment when the buyer and seller have reached binding agreement, but it frequently precedes the [[Definition:Closing date | closing date]] by weeks or months because regulatory approvals — such as [[Definition:Change of control | change of control]] clearances from insurance supervisors — must still be obtained before ownership can transfer.

⚙️ The interval between signing and closing is a distinctive feature of insurance transactions. During this gap, the target company continues to operate under its existing ownership, but the [[Definition:Share purchase agreement (SPA) | SPA]] imposes conduct-of-business covenants that restrict the seller from taking actions — such as writing materially new lines, altering [[Definition:Reinsurance | reinsurance]] programs, or distributing excess [[Definition:Regulatory capital | capital]] — that could diminish the value of the business before the buyer assumes control. The signing date also typically triggers public disclosure obligations for listed companies and regulatory notification deadlines. In cross-border insurance deals, where approvals may be needed from supervisors in multiple jurisdictions — from [[Definition:Solvency II | Solvency II]] authorities in Europe to the [[Definition:China Banking and Insurance Regulatory Commission (CBIRC) | CBIRC]] in China or state insurance departments in the U.S. — the period between signing and closing can stretch to six months or longer, during which market conditions, loss experience, or regulatory sentiment may shift significantly.

📅 The signing date matters because it crystallizes the legal obligations of the parties and establishes the reference point for many of the transaction's economic and procedural mechanics. Price adjustment mechanisms — whether based on [[Definition:Completion accounts | completion accounts]] or a [[Definition:Locked box | locked box]] approach — are calibrated relative to the signing date. Material adverse change clauses, which allow a buyer to walk away if the target's financial condition deteriorates substantially, typically run from signing to closing. For reinsurance transactions, the signing date of a treaty or [[Definition:Facultative reinsurance | facultative certificate]] determines when contractual obligations begin to accrue, which has implications for the timing of [[Definition:Premium | premium]] payments and the attachment of coverage. In short, while the closing date transfers ownership, the signing date is where the deal becomes real.

'''Related concepts:'''
{{Div col|colwidth=20em}}
* [[Definition:Closing date]]
* [[Definition:Share purchase agreement (SPA)]]
* [[Definition:Change of control]]
* [[Definition:Completion accounts]]
* [[Definition:Locked box]]
* [[Definition:Signing protocol]]
{{Div col end}}

Definition:Signing date - Revision history

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