CIP C13 - CH01 - Introduction to Insurance Liability (Completed) 2024

What word equates to the term "RESPONSIBILITY" as it is used in the insurance business? - - Liability. What are 3 categories used to classify the way in which the law imposes liability? - - Negligence. - Nuisance. - Breach of contract. What is a TORT? - - A civil wrong or injury recognized under the law such as: - Negligence and nuisance, but not a breach of contract. - Whereby an injured party acquires the right to sue the defendant, usually for a court award in the form of compensation. What is NEGLIGENCE? - - The omission to do something which a reasonable person (guided upon those considerations which ordinarily regulate the conduct of human affairs) would do, or doing something which a prudent and reasonable person would not do. - A tort. What is NUISANCE? - - A substantial and unreasonable interference with a person's right to enjoy and use his property. - A tort. What is PRIVATE NUISANCE? - - Interference with a person's right of use and enjoyment of his or her living area. - includes block neighbours What is PUBLIC NUISANCE? - - Interference involving the rights of use and enjoyment of many people. What is a BREACH OF CONTRACT? - - When a party to a contract fails to honor the terms of a contract. - Providing the injured party to the contract with a legal cause of action against the party who failed to perform. - Liability insurance does not apply to breach of contract. Why does our system of CIVIL JUSTICE IMPOSE RESPONSIBILITIES on people? - - Responsibility is imposed on all citizens; individuals and legal entities, as a natural deterrent to irresponsible behavior in both personal and corporate acts. How does a LIABILITY POLICY PROTECT BUSINESSES? - - As funding for liability, as few can adequately budget to cover compensation. - Businesses contract out the results of their responsibility by paying a fee for liability insurance policies in the form of insurance premium. - Insurer agrees to pay an adverse judgement rendered against the insured arising from an activity for which the insured is held liable, and which is covered under the policy. Military, foreign relations, currency, the postal service are all handled by which level of Government? - Federal. Identify 3 LEVELS of GOVERNMENT that enact laws. - Federal, provincial, and municipal. What type of RIGHTS are likely to be involved in CIVIL LAWSUITS? - - Individual, family relationships, estates, contracts, and any dispute not involving a criminal or quasi-criminal act. What is a QUASI CRIME? - - An offence, but not a crime that is not prohibited by the Criminal Code of Canada. - Duties an individual owes to society specified by provincial statutes. - Eg: Legislation governing highways and motor vehicles. What is the difference between CRIMINAL and CIVIL LAW? - - Criminal law seeks to determine guilt. - Criminal court to punish an offender by imprisonment or fine or other appropriate method. - Civil law seeks to assign fault - Provides a judicial form to develop and interpret common law principles and applying relevant statute law. - Civil court to settle appropriate compensation for the damages suffered and then obliging the liable party to pay this sum to the injured party. A breach of criminal law demands _____; a breach of civil law demands ____. - Punishment; compensation. Briefly review the HISTORY of LEGAL SYSTEM in QUEBEC. - - 1663 France jurisdiction over Quebec; Custom of Paris - a legal system whose traditions could be traced to Roman Law. - 1866 Napoleonic Code - 1994 Civil Code of Quebec What is the ROLE of the COURT OF QUEBEC in CIVIL MATTERS? - - To settle disputes according to the specifications set out in the Code. - Not to make the law but to interpret the law.