RMI-3011 Study Guide - Midterm Guide: Home Insurance, Insurance Services Office, Hohlgangsanlage 8
30 Oct 2017
School
Course
Professor
Document Summary
Usually the first page of the insurance policy, declarations are statements that provide information about the particular property or activity to be insured. In property insurance, the dec. page contains the name of the insured, location of property, period of protection, amount of insurance, premium and deductible information. It summarizes the major promises of the insurer. There are two forms of insuring agreements in property insurance: named perils and open perils. Only the perils specifically named in the policy are covered. It is where all the losses are covered except those losses specifically excluded. Some reasons for exclusions in insurance contracts are: certain perils considered uninsurable, presence of extraordinary hazards, coverage provided by other contracts, moral hazard problems, attitudinal hazard problems, coverage not needed by typical insured. Conditions in contracts are provisions in the policy that qualify or place limitations on the insurer"s promise to perform. If the conditions are not met, the insurer can refuse to pay the claim.
