Important Insurance Principles

Insurance is defined as the equitable transfer of risk of loss from one entity to another, in exchange for a premium.

The following are important principles of insurance;

1. Nature of contract:
   
2. Principal of utmost good faith:
   
3. Principle of Insurable interest:
   
4. Principle of indemnity 
5. Principal of subrogation.
6. Principle of proximate cause
7. Double insurance

 Please find attached the detail of each of these principles.