The Purpose of the Insurance Contract Is to Restore the Insured

question 64

True/False

The purpose of the insurance contract is to restore the insured to the same economic position as before the loss.

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Definitions:

Compulsion

A psychological condition where an individual feels the need to perform specific actions repeatedly, often against their will.

Obsession

A persistent and intrusive thought or impulse that causes significant distress or anxiety.

Hallucination

The perception of something that is not present, such as hearing or seeing something that isn't there, often occurring without the presence of any external stimulus.

Delusion

A false belief or judgment held with conviction despite evidence to the contrary, often occurring as part of a psychiatric disorder.