1. The purpose of the cover note A proposal is not necessarily accepted at once, since the insurance company may take time to consider it. If the proposal is submitted through an agent, the agent usually has no authority to accept it himself, but must forward it to the insurers in order that they may […]
Since the contract of insurance is constituted by the acceptance of an offer, it is necessary in the first instance to make certain that an offer has, in fact, been made which is capable of being accepted. A. WHAT CONSITUTES AN OFFER To constitute an offer capable of being accepted, the following conditions must be […]
To establish the existence of the contract it is not necessary that all its terms should have been separately agreed. As the contract is in common form, there is, as a rule no real negotiation of terms, the agreement being, on the part of the insurer, to issue, and, on the part of the proposer, […]
Insurance companies are governed by the companies Act 1985. In addition, they are affected by the Insurance Companies Act 1982. Part I of the Insurance Companies Act 1982 imposes restrictions on the carrying on of certain classes of insurance business. Part II, which applies to all insurance companies whether established within or outside the United […]
The subject of insurable is of great importance in the three leading branches of insurance, ie marine insurance, fire insurance and life insurance, and gives rise to many difficult questions. Similar questions no doubt, may, in theory, arise in the different branches of accident insurance. But in practice, they rarely do so, either because of […]
The parties to a contract of insurance are the ‘Assured’ (or ‘Insured’) and the ‘Insurers’. 1. The assured (or insured) Any person who is capable of contracting may be the assured under a contract of insurance. Thus, a minor may enter into a contract of insurance if it is for his benefit; otherwise, the contract […]
A contract of insurance in the widest sense of the term may be defined as a contract whereby one person, called the ‘Insurer’, undertakes, in return for the ‘Assured’, a sum of , money, or its equivalent, on the happening of a specified event. The specified event must have some element of uncertainty about it, […]
In considering the nature of the contract of insurance it is necessary to distinguish between the subject-mater of the contract of insurance and the subject-matter of insurance. In all contracts of insurance the subject-matter must be adequately described. A. THE SUBJECT-MATTER OF THE CONTRACT OF INSURANCE The protection given by a contract of insurance is […]