If a Material Change in Risk Occurs After a Fire

question 41

Essay

If a material change in risk occurs after a fire insurance policy has been entered into, what must the insured do in order to maintain his coverage? When this occurs, what options does the insurer have?

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Definitions:

Protons

Positively charged subatomic particles found in the nucleus of an atom, fundamental to the chemical identity and properties of an element.

Ionic Bond

A chemical bond formed between two ions with opposite charges through the transfer of one or more electrons from one atom to another, resulting in an electrostatic attraction that holds the ions together.

Polar

A molecule or part of a molecule containing regions with slight charges due to uneven electron distribution, leading to interactions with other charged molecules.

Nonpolar

Describing molecules that do not have distinct positive and negative poles, resulting in a lack of electronegativity difference between the atoms.