Insurance Law Questions and Answers Rated A+

Insurance Law Questions and Answers Rated A+ _____________ insurance protects your business against loss or damage to specific business- related items such as buildings, equipment, furniture, tools and inventory. Property If an insurer has in some way excused a default done by a customer (such as misrepresentation) then the insurer can not rely on that default as a reason to deny the customer's claim. The insurer is said to have _______ its right to use the default as a defence. Waived The price paid for insurance coverage is known as the premium One of the underlying principles of insurance is that of utmost __________, which means that the customer, when buying insurance, must disclose everything relevant to the risk that is being insured. good faith Federal legislation provides that no shares of an insurance company can be owned by any ___________ ___________ ______ __________ ______________ federal, provincial or foreign government To claim successfully under an indemnity insurance contract, a person must show that he had an __________ _________in the subject matter at the time the loss occurred. insurable interest Insurance coverage can be nullified if the person who is insured has made a _____________ about himself or his situation by leaving out important facts from his insurance application misrepresentation In Alberta, a car owner may decide not to purchase __________ insurance if the car is not worth replacing, but is required ____ ______ ______ ________ liability insurance to cover any injury or death he might cause to another person while driving his car. Collision, to buy third party The cost of insurance coverage __________with the amount and value of the property insured and the types of perils against which you insure. increases Where a customer makes a late payment for his insurance contract, and the insurer makes a representation to that customer that the late payment is ok and the contract is in force, the insurance company is _______ from later denying the customer's claim on the basis that late payments are not ok. This is an example of the doctrine of _________ by ____________. estopped, estoppel, representation. Where an agent does an act that is intended to bind the insurer but the agent has no authority to do so, the insurer may ________ the action later by agreeing to the transaction. ratify __________ _________ are organizations of at least 75 members which are licensed to enter into non-profit contracts of life, accident, sickness, disability and funeral insurance with their members. Fraternal societies ____________ _____________ insurance protects a business against any indirect losses or damages it may suffer through events that temporarily prevent the business from carrying on as usual. Business interruption Insurance __________ are written evidence that insurance contracts exist. Policies Where a customer has not paid in full for his insurance contract, the insurer may insist on _____________ _____________of the contract by having the customer pay in full, rather than choose to sue the customer for breach of contract. specific performance A murderer can not collect life insurance if he kills the insured person because of the underlying principle of ___________, which means that losses must be random, not brought about deliberately. Fortuity A __________ is a group of individuals or companies who are willing to underwrite risk. syndicate When a certain type or amount of insurance