Study 3 Flashcards
As applied to insurance, the intentional withholding from an insurance company of information pertinent to a risk.
concealment
A cause that, in a natural and continuous sequence unbroken by any new and independent cause, produces an event and without which the event would not have happened.
proximate cause
A sum of money to which a plaintiff is entitled that makes amends for an actual loss sustained and nothing more.
compensatory damages
Policies composed of unique wordings drafted to accommodate the needs of a particular risk.
manuscript policy
Statements included in a policy that are agreed to by the insured and form the basis of the contract of insurance.
declarations
Describes the intent of the policy, just what insurance coverage is provided by the policy, and in what limits.
insuring agreement
A legal term that provides that any ambiguity in a contract must be interpreted against the person who drew the contract because that person had the opportunity to make it clear.
contra proferentem
A type of contract that is effectively non-negotiable because one party drafts the policy wording or offers a standardized contract wording.
contract of adhesion
The date of inception of an insurance policy, or the date additional coverages become effective.
effective date
The date on which a policy ends.
expiry date
Under a liability policy, a basis for coverage on which the policy responds to a claim for a covered incident that occurs during the policy period, regardless of when the claim is made.
occurrence basis
A provision in some insurance and reinsurance contracts covering only claims made during the term of the contract.
claims-made basis
