The requirement that an insured would suffer a loss in the absence of insurance if the insured property is damaged or destroyed is the requirement of:

Question

Quizplus · Accepted Answer

Insurable interest is the requirement that an insured would suffer a loss in the absence of insurance if the insured property is damaged or destroyed. This means that the insured must have a financial interest in the property being insured, so that they would suffer a financial loss if that property were damaged or destroyed. Without an insurable interest, insurance would be seen as a form of gambling or speculation, which is not the purpose of insurance.

The Requirement That an Insured Would Suffer a Loss in the Absence