Insurance Contract Law

Insurance contract law governs the agreements between insurers and policyholders, defining each party's rights and obligations. It requires insurers to protect against specific risks in exchange for premium payments. Key principles include "good faith," meaning both parties must be honest, and "utmost good faith," which obligates policyholders to disclose relevant information. Contracts outline coverage details, exclusions, and claims procedures. If a loss occurs, the insurer is obligated to pay according to the contract's terms, provided the policyholder has met their responsibilities. Disputes may arise, often settled through legal frameworks established to ensure fairness and accountability.