1.

What are the essential components of Insurable interest?

Answer»

Essential components of Insurable interest: 

  • There must be some property, right, interest, life, limb or potential liability which is capable of being insured. 
  • Any of the above i.e. Property, right, interest etc. must be subject matter of insurance. 
  • The insured must have a formal or legal relationship with the matter which is the subject of insurance. 
  • The relationship between the insured and the subject matter of insurance must be recognised by law.


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