Insurance Premium Definition – What Is Indemnified Insurance?
What is indemnified insurance? Basically, it’s an insurance policy that covers you from the loss. Sometimes, the ins’d may have insurance with more than one is, for instance, because of concerns about the in’s insolvency or because the ins’d mistakenly bought more than one policy. This double coverage is problematic, because if something goes wrong, you cannot recover under two policies. Additionally, it could be in breach of the indemnity principle if the ins’d engineers a loss in order to recover money.
The difference between primary insurance and secondary insurance is that primary insurance covers the limit of the primary policy, whereas secondary cover covers the excess. Secondary insurance may be provided by statute or by an insurance policy. This is important to understand, because it is common for overlapping insurance policies to conflict with each other. Nonetheless, you should make sure that you know exactly how much insurance you need before making a decision. Whether you need a policy with a large excess limit or a policy with a lower limit is an important decision to make.
In one case, the ins’d sued the ins’d for negligence, but the ins’d argued that the ins’d’s policy was not liable because the ins’d failed to give sufficient notice of the claim. Another case in point involved the co-existence of a clause that covered 50 percent of claims against the ins’d, but the ins’d failed to prove this.
In another, related case, the ins’d sued a third party for medical expenses and then sued the insurance company for the same amount. The insurer argues that if the ins’d been to receive the full amount of compensation, they would overcompensate. Overcompensation is prohibited under the law, and this principle is the primary concept of subrogation. It’s crucial to understand what subrogation is and how it works.