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प्रश्न
"Insurance is a contract of indemnity." Explain.
उत्तर
- Insurance contracts require the insurer to pay the actual loss or the sum covered, whichever is less.
- Insurance aims to restore the insured's pre-loss situation.
- All insurance contracts, save for life insurance, are indemnity contracts.
- Life insurance does not follow the principle of indemnity (compensation).
- Human life cannot be valued in monetary terms.
- In life insurance, the money insured is always payable at death or the expiration of the set period, whichever occurs first.
- Only the payment time is unpredictable. That is why life insurance is referred to as life assurance.
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संबंधित प्रश्न
Explain the principles of insurance.
______ means a promise to compensate in case of loss.
Explain in brief the Principle of Subrogation.
"The insured must disclose all material facts and the insurer must make clear all the terms and condition in the insurance contract." Which principle of insurance is referred to in this statement?
"The insurer undertakes to put the insured, in the event of loss, in the same position that he occupied before the event." Which principle of insurance is referred to in this statement?
What is insurable interest?
Explain 'contribution' as a principle of insurance.
Distinguish between Principle of Indemnity and the Principle of Insurable Interest.
"Principle of contribution is a corollary to the principle of indemnity." Comment.
Is insurable interest necessary in all insurance contracts?
