The insurance policy or contract is a contract by which the insurer promises to pay benefits to the insured or, on his behalf, to a third party if certain events occur. Subject to the “Fortuity” principle, the event must be uncertain. The uncertainty may be either when the event will occur (for example. B in life insurance, the date of the insured`s death is uncertain) or whether it will occur (for example. B in fire insurance, whether or not there is a fire). [4] Bulldog Bag Ltd. v. AXA Pacific Insurance Co.6 included an insurance claim by Bulldog Bag against its own insurer AXA as part of a CGL policy which provided that both policies had been extended by several hazards. In this confirmation, certain extensions must be “increased without increasing the amount of insurance and only as a result of a risk against which the insured is insured.” As part of this approval, the limit was set at $25,000 for inventory and equipment located on temporary sites. The insurance contract says what it is for the insurer to cover as part of the contract. It relates to the purpose of the insurance. In the standard fire policy, the declaration and insurance are displayed together on the first page of the contract.

In policies that have more than one item, such as auto insurance. B, there is an insurance agreement for each item. It is the insurance contract that is part of a car insurance formed by an insurance contract for damage caused to cars. Car insurance generally has two themes: “liability coverage” and “car damage coverage.” Conditions – The provisions of a policy that require the insured to do something or to do nothing, either before or after a loss. The insurer`s obligation to pay losses or provide services is based on the insured`s obligation to fulfill certain obligations or to prevent certain things. One of the obligations of the insured before a loss is to have applied for insurance coverage in truth. Concealment or fraud by the insured invalidates the policy. One of the insured`s obligations is, after a loss, to protect the property from further losses.

Otherwise, the insurer could be exempt from the obligation to pay the debt. Above is an example of conditions included in auto insurance. The insurer talked about the insured`s obligations in the event of an accident or loss. Insurance contracts have traditionally been written on the basis of each type of risk (for which risks have been defined very precisely) and a separate premium is calculated and charged for each of them. Only the specific risks expressly described or “considered” in the directive were covered; This is why these guidelines are now referred to as “individual” or “schedule” guidelines. [13] This system of “designated hazards”[14] or “specific dangers”[15] proved untenable in the context of the Second Industrial Revolution, as a typical large conglomerate could have dozens of types of risks that can be insured against.