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Today General Knowledge(GK)
Which of the following principles of Insurance enables the insured to claim the amount from the third party responsible for the loss?
A)
Principle of Subrogation
B)
Principle of Contribution
C)
Double insurance
D)
Insurable Interest

Correct Answer : Option (A) - Principle of Subrogation



The principle of subrogation enables the insured to claim the amount from the third party responsible for the loss. It allows the insurer to pursue legal methods to recover the amount of loss, For example, if you get injured in a road accident, due to reckless driving of a third party, the insurance company will compensate your loss and will also sue the third party to recover the money paid as claim.

Published On : June 2, 2021
Category : Insurance and Finance
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