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An Insurance Contract Is Not Valid Unless the Owner Has

question 13

Essay

An insurance contract is not valid unless the owner has an insurable interest in the subject matter of the policy. Describe the rules on insurable interest.


Definitions:

Reaction Formation

A defense mechanism where an individual behaves in a way that is opposite to their own uncomfortable or unacceptable thoughts or feelings.

Paradoxical Heat

A sensation of burning heat felt when a cold stimulus is applied to a specific area of the skin, typically due to nerve damage.

Encapsulated End Organs

Sensory receptors surrounded by capsule structures that are sensitive to pressure and vibration.

Frequency Theory

A theory in hearing that suggests the frequency of a sound is coded by the frequency of the neural impulses traveling up the auditory pathway.

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