The General Rule That Ambiguity in Insurance Contracts Is Construed

question 37

Multiple Choice

The general rule that ambiguity in insurance contracts is construed against the insurer is reinforced by an important legal principle.This principle states the insured is entitled to coverage under a policy that he or she would assume the policy would provide,and exclusions must be conspicuous,plain,and clear.This principle is known as

• A)the principle of utmost good faith.
• B)the principle of reasonable expectations.
• C)the principle of subrogation.
• D)the principle of indemnity.