It is possible to have an insurable interest in goods without having title to the goods.

Question

Quizplus · Accepted Answer

Insurable interest refers to the financial interest one has in the continued existence of the insured object, such as a good. It is possible to have an insurable interest in goods without owning the goods. For example, a supplier of goods can have an insurable interest in the goods until they are paid for by the buyer. Similarly, a financier can have an insurable interest in goods that are being used as collateral for a loan.

It Is Possible to Have an Insurable Interest in Goods