Insurable Interest and the Law

The book evaluates the doctrine of insurable interest in modern insurance law by analyzing its rationales and proposing ways to improve it. It argues that the policy against wagering, the prevention of moral hazard, and the relationship with the indemnity principle are still valid in the global financial markets and that the doctrine is essential for insurance contract law rules and market practice.

Format: Paperback / softback
Length: 242 pages
Publication date: 01 February 2022
Publisher: Taylor & Francis Ltd

The doctrine of insurable interest has played a significant role in modern insurance law, but its complexities and ambiguities have led to differing interpretations in different jurisdictions. While some have relaxed or abolished the requirement for an insurable interest, the UK insurance industry has strongly advocated for its retention. This book examines whether the traditional justifications for the doctrine, such as preventing wagering, moral hazard, and aligning with the indemnity principle, still hold weight in the global financial markets and in the aftermath of gambling liberalization. It argues that the doctrine of insurable interest is not obsolete but rather has gained new significance. Moreover, it is contended that the doctrine is an essential component of the insurance contract law rules and market practices. Instead of outright rejection, the book proposes a recalibration of insurable interest to enhance pre-contractual transparency for proposers, ensuring that policies are suitable for their interests in the insured subject matter.

This book is a valuable resource for academics and practitioners alike, offering a comprehensive analysis of the doctrine of insurable interest and its implications in the insurance industry. It provides a robust defense for the retention of insurable interest, while also suggesting ways to improve its effectiveness and transparency. The book's insights will be of interest to anyone working in the field of insurance law, as it sheds light on the evolving dynamics of this important legal concept.

Weight: 416g
Dimension: 156 x 234 x 22 (mm)
ISBN-13: 9780367499532