Insurance Flashcards
0
Q
Average clause
A
If an item is under insured use this
Amount Insured
—————— X Amount Claimed
Actual value
1
Q
Principles of insurance
A
Insurable interest
Utmost good faith
Indemnity- no profit from insurance
Contribution- can’t gain by insuring with multiple company’s
Subrogation- once paid blame is passed on
2
Q
Business insurances
A
Fire Theft Public liability Product liability Fidelity guarantee Motor Cash in transit Key person
3
Q
Benefits of insurance
A
Reduces risk
Protects cash flow
Improves safety standards
Increases ability to take changes
4
Q
Reducing risk
A
Install Alarms Fireproof building materials Train staff in use of machinery Check machinery regularly Use cctv Lodge cash frequently Store stock in multiple locations
