The insurable interest doctrine

Lord Hanworth did not explain why the injunction should issue against the company, but I think it is clear from the judgments of Lawrence and Romer LJJ, at pp andthat they were applying the evasion principle.

Underwriters are aware that fire losses are more likely to occur during business depressions. The event that constitutes the trigger of a claim should be fortuitous, or at least outside the control of the beneficiary of the insurance.


The potential problem in this situation was averted by section 50 of the Insurance Companies Actwhich disapplies section 2 of the Act, provided that the class of persons covered by the policy is identifiable with reasonable certainty. Contractual insurable interest is an interest which is being required by contract of insurance by itself.

You should receive your order within 10 business days. Thus, depending on the circumstances, a prima facie case may become a strong or even an overwhelming case. There is nothing in the Matrimonial Causes Act and nothing in its purpose or broader social context to indicate that the legislature intended to authorise the transfer by one party to the marriage to the other of property which was not his to transfer.

For some years it has been the practice of the Family Division to treat the assets of companies substantially owned by one party to the marriage as available for distribution under section 24 of the Matrimonial Causes Act, provided that the remaining assets of the company are sufficient to satisfy its creditors.

PRL was the legal owner of the matrimonial home, which was bought in the name of the company in but was found by the judge to be held for the husband beneficially. The decision is not, therefore, direct authority on the question whether the court was entitled to pierce the corporate veil.

Integrated auxiliaries of churches and conventions or associations of churches. Continued insurable interest, however, need not be demonstrated. She did attain 21 years and so repayment of the advance was not required.

Insurance law

Section 25 provides for a number of matters to which the court must in particular have regard in making such orders, including, at section 25 2 athe "income, earning capacity, property and other financial resources which each of the parties to the marriage has or is likely to have in the foreseeable future".

Introduction Inheritance in Nigeria is normally determined by the customary rules The insurable interest doctrine where the deceased person originates from and not by where he resides or lives, or, where the property is situated. The correct analysis of the situation was that the court refused to be deterred by the legal personality of the company from finding the true facts about its legal relationship with Mr Dalby.

It is also wise to deposit copies of the Will in reliable places like the office of a long time Solicitor, the regular Bank of the Maker of the Will, the High Court Registry of the place where the Maker of the Will regularly resides and have a majority of his assets; some security companies also accept custody of a Will for a nominal fee.

Both the first instance judge56 and the majority of the Court of Appeal held that Steamship did posses a pecuniary interest in the losses covered by the policy and that its interest was capable of being ascertained when the policy was entered into. Reinsurance stabilizes insurer profits, evens out loss ratios, reduces the capital needed to underwrite business, and offers a way for insurers to divest themselves of an entire segment of their risk portfolio.

It followed that any damage to the plant after it was commissioned that was attributable to the fault of Davy could not be regarded as covered by the insurance policy. This was an appeal from Scotland in which the House of Lords declined to allow the principal shareholder of a company to recover compensation for the compulsory purchase of a property which the company occupied.

In order to obtain broader and statistically sounder rates, insurers often pool loss and claims experience by setting up rating bureaus to calculate rates based on industrywide experience.

Section 25 2 a requires the court when exercising the powers under section 24, to have regard to "the income, earning capacity, property and other financial resources which each of the parties to the marriage has or is likely to have in the foreseeable future".

The Vice-Chancellor concluded that the authorities supported the submission in case iand also in case ii provided that the impropriety was a relevant one, i. While this definition is confined to marine policies, it nevertheless provides a useful insight into the requirement of insurable interest in insurance law generally.

Section 23 provides for periodical and lump sum payments to a spouse or for the benefit of children of the marriage.

Further, as the accounting profession formally recognizes in financial accounting standards, the premium cannot be so large that there is not a reasonable chance of a significant loss to the insurer. If the agent of the insurer asks the applicant a question the answer to which is a matter of opinion and if the answer turns out to be wrong, the insurer must demonstrate bad faith or fraudulent intent in order to void the contract.

The influence of the code may be seen, for example, in the matter of third-party liability, in which the burden of proof may be upon the defendant rather than upon the plaintiff.

Here the three subsidiary companies were treated as a part of the same economic entity or group and were entitled to compensation. This toll-free telephone service is available Monday through Friday. If a person obtains an insurance policy on their own life, it is presumed that the person would only name a beneficiary who wants the insured to be alive and healthy.

Minimum capital requirements vary, depending on the type of business written, usually being highest for life insurance. Because Mr Lipman owned and controlled Alamed Ltd, he was in a position specifically to perform his obligation to the plaintiffs by exercising his powers over the company.

INTRODUCTION Corporate personality has been described as the ‘most pervading of the fundamental principles of company law”. It constitutes the bedrock principle upon which company is regarded as an entity distinct from the shareholders constituting it.

Here is the list of words starting with Letter I in saying that "all the definitions of an 'insurable interest' import an interest in the property insured which can be enforced at law or in equity." Id.

Insurable interest

at 46, 15 A. at The doctrine of insurable interest runs contemporaneously with the notion of an insurance contract as a contract of indemnity, given that an insurable interest must exist in order for the indemnity provided by an insurance contract to be relied upon by the insured.

the insurable interest doctrine expanded the definition of who may take out an insurance policy far enough that even the mildest pecuniary connection can qualify for an insurable interest alongside individuals with an affective or consanguine interest. Even before these modern evasions, however, at.

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The insurable interest doctrine
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