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9 Cards in this Set
- Front
- Back
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Policyholder Conditions |
Policy-what the insured can and cannot do with the policy Property- condition related to the insured property Claims-responsibilities of the insured when there is a claim Honesty-behavior expected of the insured |
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Assignment Condition |
Policyholders cannot transfer or assign their policy to someone else |
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Abandonment Condition |
The insured cannot abandon or “dump” damaged property on the insurance company and demand payment |
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Warranty Condition |
Specific agreements or warranties that are part of the policy contract stipulating that certain conditions be met |
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Claims |
Policyholder must -notify company that they had a loss -make sure they do what they can to prevent further damage -work with the claims adjuster to provide necessary documentation of items Notice of Claim-prompt notification of loss us required Duties after the Loss-require the insured to protect the property against further damage, provide an inventory of damaged or stolen property, make the property available for inspection, and cooperate in claims investigation Proof of Loss- inventory of damages which could include a list of items that were damaged, destroyed, or stolen. Could also include appraisals Subrogation- insured transfers his rights to his insurance company to collect from at-fault party on there behalf
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Honesty |
The conditions related to honesty are: Concealment- hiding a fact that is relevant Misrepresentation-untrue statement Illegal Purposes-policy contracts are not enforceable when the purpose is illegal Intentional Acts-something that is dine on purpose and meant to cause a loss |
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General Conditions- Property |
Appraisal-the appraisal condition spells out how appraisals are used to settle disputes over the value of something in a claim Arbitration- Another method or resolving differences on claims settlements. Similar to using appraisers, this conditions stipulates the process for using an arbitrator to resolve the difference. Arbitration could sometimes come into play in resolving liability claims and disputes between two insurance companies |
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General Policy Conditions |
Policy Period-the specific time period a policy is in force Territory-this condition of the policy limits coverage to a geographical area Changes-the named insured must is authorized to request changes to the terms of the policy at any time. The company must respond in writing Cancellation- termination of insurance Other Insurance-when there is more than one policy insuring a person, the policy will state when they will respond as primary, excess or on a pro-rata basis. Primary- 1st Excess- second; over and above Pro-Rata- Share |
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Pro-Rata Formula |
Back (Definition) |
