8.3 Principles of Non-Life Insurance

The non-life's doctrinal quintet (the unit's banker): The indemnity principle: the loss's compensation only — the pre-loss position's restoration; the profit's bar; the measure's craft (the repair's cost; the replacement's market value; the depreciation's faces); the indemnity's modifications (the valued-policy; the replacement-cost; the agreed-value faces); The insurable interest: the subject's lawful relationship (the ownership, the possession, the liability, the contractual faces); the timing (the non-life's requirement — the loss-time interest (the property) vs the contract-time (the marine's craft)); The subrogation: the insurer's post-payment succession — the insured's rights' exercise against the third-party wrongdoer (the recovery's doctrine: the tortfeasor's liability's transfer); the subrogation's limits (the insured's full-indemnity-first; the same-insured's non-suit; the insured's prejudice-bar); The contribution: the dual-insurance's discipline — the multiple-policies' fair-sharing (the rateable-proportion's doctrine); the contribution's conditions (the same-subject-peril-insured- interest; the same-insured); the policy's contribution-clauses (the escape-and-rateable faces); The proximate cause: the loss's effective-cause test (the nearest-in-efficiency — not the nearest-in-time); the chain's analysis (the excluded-peril's intervention — the chain-breaking craft; the concurrent-causes' modern problem); the claim's determination's key (the covered- vs-excluded cause — the litigation's classic). The claims' principles (the practice's companions): the notice-and-proof duties (the timely-claim; the surveyor's cooperation — Unit 6.1's link); the fraud's consequence (the claim's forfeiture); the salvage's duty (the loss's mitigation — the insured's duty to minimise). Exam Focus Long questions (the unit is…