CONTRIBUTION AND SUBROGRATION
- Created by: fjollakrasniqi
- Created on: 28-02-21 17:18
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The insured can only recover the total amount of a loss sustained, regardless of the number of policies held.
DUAL INSURANCE:
Two types of insurance provide cover in the event of loss.
Contribution condition:
They can claim from any insurers. Up to the insurers to then recover appropriate shares from the other.
Contributionn is the right of an insurer to recover part of a claim payment where two or more policies cover the same interest and risk.
Common insurable interest:
The insurable interest must b the same (owner, user, bailee etc).
Common peril: i.e. both covering fire
Common subject matter:
APPLYING THE CONTRIBUTION PRINCIPLE:
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