Asked by Kimberly Zappalla on Mar 10, 2024
Verified
Insurable interest means that the insured must have a personal stake or interest in whatever is being insured.
Insurable Interest
A vested interest by the policyholder in an insurance policy's subject matter, ensuring they suffer a direct financial loss if the insured event occurs.
- Recognize the importance and limitations of insurable interest within insurance law.
Verified Answer
RA
Rachel AumanMar 10, 2024
Final Answer :
True
Explanation :
Insurable interest is a fundamental principle of insurance that requires the policyholder to have a personal stake or interest in the property or life being insured, ensuring they suffer a direct loss if the insured event occurs.
Learning Objectives
- Recognize the importance and limitations of insurable interest within insurance law.