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Insurance law is the name given to practices of law surrounding insurance, including insurance policies and claims.
In the case that an insurer declares bankruptcy, many countries
operate independent services and regulation to ensure as little
financial hardship is incurred as possible (National Association
of Insurance Commissioners operates such a service in the United
States.
Definite Loss. The event that gives rise to the loss that is subject to insurance should, at least in principle, take place at a known time, in a known place, and from a known cause. The classic example is death of an insured on a life insurance policy. Fire, automobile accidents, and worker injuries may all easily meet this criterion. Other types of losses may only be definite in theory. Occupational disease, for instance, may involve prolonged exposure to injurious conditions where no specific time, place or cause is identifiable. Ideally, the time, place and cause of a loss should be clear enough that a reasonable person, with sufficient information, could objectively verify all three elements.
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Also See:
Law Index
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