Asked by Mauricio Davila on May 07, 2024
Verified
A person can insure anything, even if he or she does not have an insurable interest in it.
Insurable Interest
A requirement indicating that a policyholder must stand to suffer a financial loss or certain types of loss from the damage or loss of the insured subject.
- Absorb information regarding key insurance contract components, specifically insurability, the necessity of insurable interest, and the legal validity of insurance agreements.
Verified Answer
RG
Regina GivensMay 10, 2024
Final Answer :
False
Explanation :
For a valid insurance contract, the policyholder must have an insurable interest in the subject matter of the insurance, meaning they would suffer a financial loss or certain types of losses if the insured event occurs.
Learning Objectives
- Absorb information regarding key insurance contract components, specifically insurability, the necessity of insurable interest, and the legal validity of insurance agreements.
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