Insurance Terms & Concepts

For property insurance, insurable interest must exist:

Answer

At the time of the loss

An insurable interest is an interest in the subject of insurance that would cause the insured financial loss; it 'must be demonstrated when a policy is issued and must exist at the time of loss.'

Source: CA Dept. of Insurance, Small Business Guide to Commercial Insurance (Form 700), Glossary

Not the answer

  • It is never required
  • Only at renewal
  • Only when the policy is issued

Practice this

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