Asked by
Dylan Starr
on Nov 27, 2024Verified
An insurance policy cannot be assigned if the assignment will significantly alter the risks to, or the duties of, the insurer.
Insurance Policy
A contract between an insurer and the insured, outlining the terms under which the insurer agrees to compensate the insured for specific losses.
Risks
The possibility of loss, injury, or other adverse or unwelcome circumstance; a chance or situation involving such a possibility.
Duties of Insurer
The responsibilities an insurance company is bound to fulfill, including issuing policies, collecting premiums, and paying out claims.
- Familiarize oneself with the circumstances that determine the legality and binding nature of an assignment or delegation.
- Identify the limitations and prohibitions on the assignment and delegation of contracts based on statutes or contract terms.
Verified Answer
SP
Learning Objectives
- Familiarize oneself with the circumstances that determine the legality and binding nature of an assignment or delegation.
- Identify the limitations and prohibitions on the assignment and delegation of contracts based on statutes or contract terms.