Introduction:
Insurance is a contract between an individual or an entity (policyholder) and an insurer (insurance company), wherein the insurer agrees to provide financial coverage and compensation for specific risks or events in exchange for regular premium payments. The legal principles governing insurance ensure fairness, transparency, and protection for the policyholders and insurers. These principles form the foundation of insurance law and play a crucial role in insurance contracts and claims.
References:
1. Insurance Law Essentials - American Bar Association: Provides a comprehensive overview of insurance law and principles, including contract formation, interpretation, and enforcement.
2. Principles of Insurance Law - International Association of Insurance Supervisors: Offers a detailed examination of the key principles and concepts of insurance law, covering areas such as insurable interest, utmost good faith, subrogation, and proximate cause.
3. Principles of Risk Management and Insurance - George E. Rejda: A textbook that explores various legal principles and concepts in insurance, including indemnity, fortuity, mitigation of loss, and contribution.
Conclusion:
Understanding the legal principles of insurance is essential for both policyholders and insurers to ensure a fair and smooth insurance process. These principles provide the framework within which insurance contracts are executed, interpreted, and enforced. By adhering to these principles, both parties involved in the insurance contract can navigate any disputes or claims that may arise in a consistent and reliable manner.
Legal principles of insurance introduction,reference and conclusion
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