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An insurer, PacificaGuard Insurance Co., through its Iloilo-based agent Kaye Lim, negotiates fire insurance for Northshore Manufacturing's warehouse. Lim tells Northshore that Pacifica will bind coverage up to PHP 8,000,000 and issues a binder stating the coverage, perils, and premium. The next day, Pacifica issues a formal policy for PHP 5,000,000 with similar perils but different terms. Pacifica later repudiates Lim's actions, claiming Lim had no authority to bind coverage or to issue a binder. (a) Identify the central doctrine governing whether Pacifica is bound by Lim's binder. (b) Distinguish actual authority, apparent authority, and agency by estoppel as they apply to Lim's binder. (c) Apply to the facts: Is Pacifica bound to honor the binder and the policy? Explain your answer with reference to the Insurance Code (PD 612, as amended by RA 10607).