INSURANCE AS PECULIAR SPECIE OF THE LAW OF CONTRACT

INSURANCE AS PECULIAR SPECIE OF THE LAW OF CONTRACT

Chapter 1

General introduction

Foreword
Insurance is a complex economic and social tool for managing risks to life and property. It is social in nature as different individuals combine measures to express mutual benefit and mitigate similar risk consequences. However, the purpose of insurance cannot be generalized as it can be easily understood from the various definitions of insurance. An insurance policy was defined for PRUDUENTIAL INSURANCE COMPANY .V. INLAND REVENUE COMMISSIONER1 AS “A person designated as an ‘insured’ may, in consideration of consideration designated as an insurance premium, pay another person designated as an ‘insured’ in the event of a specific event. , a contract event that promises to pay an amount or its equivalent. Simply put, insurance is about putting someone who has suffered a loss back into the same position they were in before the loss occurred. It aims to eliminate the consequences of loss by ensuring that the victim (the insured) does not suffer consequential loss.

This project work examines the basic principles of insurance law. These principles are many and form the basis of insurance.

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A contract that does not comply with any of these principles can lead to the invalidity of the insurance contract, and the need to understand and have a good knowledge of the basic principles of insurance contracts cannot be overstated.

These core principles described in this work include:

Compensation for damages
subrogation
contribution
average
Insured interest
best goodwill.
The above principles form the basis of insurance contracts and their lack affects the purpose of insurance. However, as earlier stated unless one meets the requirements of all the basic principle of insurance, he will be estopped from claiming under an insurance contract.

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1.1.0:
BACKGROUND TO THE STUDY

Insurance Law arises from Maritime Contract around 1350 which has since extended into other areas and today it has covered almost all aspect transactions in the world.

But due to the high level of illiteracy in our society, many people are unaware of the Insurance policies but with the enactment of the Insurance Act No 68 of 2003, the awareness of Insurance policies was enhanced, thus more people took steps to insure their properties or life but unfortunately, much as the high percentage of them normally ends up unable to have their claims indemnified either as a result of a breach of one Insurance principle or another.

The motive for writing this work is the difficulty often encountered by many people when it comes to Insurance Contract, they are often gripped with the fear of having to combats with risk, but in reality every human being is faced with risks, personal or otherwise and the possibility of risks happening appear relevant at any moment, sometimes imminent, even though it may not happen for many years to come. This is however caused by the low awareness of the understanding of the basic principles of Insurance Contract. However, in order to use the insurance company well, you need to understand the characteristics of insurance.

However, principles from contract law and its special features made it necessary to create work for this project.

1.2.0:
Purpose of research

Insurance is a complex economic and social tool for managing risks to life and property. The purpose of this work is to:
–

By making seemingly difficult and complicated insurance terminology simple and easy to understand, we help people properly understand what insurance is, and use and apply insurance in their daily lives.
Fundamental to insurance contracts is educating the public about the seemingly insignificant but still insignificant area of ​​insurance.
It explains the basic differences between insurance contracts and contract law, and explains the basic principles of insurance law, such as liability, subrogation, and liability.
Improving educational standards in insurance education. Therefore, we analyze the basic and fundamental principles that insurance contracts deal with.
Educate people about the importance of insurance in an ever-expanding and dynamic world.
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1.3.0:
Research priorities

Since insurance contracts are governed by rules that are essentially part of general contract law, over the years it has attracted many of its own principles, which is why it is appropriate to mention insurance law. However, this research aims to examine the differences between insurance contracts and contract law by clarifying the characteristics of insurance contracts, and surveys the similarities between insurance contracts and contract law.

scope of research
This study covers a wide range of areas, including different definitions and historical developments in both insurance law and contract law. It also covers the similarities between insurance law and contract law, commonly referred to as insurance contracts, and finally, critically examines the details of insurance contracts and contract law by addressing the details of insurance law. twenty one

methodology
For the work of this project to achieve its goals, information and hypotheses are based on both primary and secondary sources. Key sources used include statutes such as the Insurance Act 2008, and other key sources include domestic and foreign court cases. Textbooks by various authors on insurance and contract law, as well as articles from newspapers and the Internet, can serve as secondary sources for this work.

literature review
Many foreign books have not dealt with the subject matter of this project in detail, except for one of its insurable interests. and eased the burden of this research. Important among the authors in this respect is

Irkw. J.O.’s book “Insurance Law Principles” explains the basics of insurance law in detail. However, Irkw laid down principles on this issue before the Insurance Act was now in force,

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In Nigeria, some of these principles are consistent with his 2008 Insurance Act.

bird. His book “Modernes Versicherungsrecht” puts even more emphasis on the basic principles of insurance law and is very helpful in processing this research.

Professor OLUSEGUN YEROKUN’s book ‘Insurance Law of Nigeria’ is an important part of this work as it contains the cases recently reported in this book and these cases enrich the law in so many ways. Useful as documentation. The parallels between insurance law and contract law, always called insurance contracts, also serve as an important source of information for this work.

FUNMI ADEYEMI has also written quite a bit about insurance contracts in her book ‘Nigeria Insurance Law’. In doing so, he observed the definition of insurance law, its types, and the contractual requirements of insurance contracts. The book also expanded on the basic principles of insurance and helped me update my project. twenty three

Also see DR SHITTU BELLO Esq to keep this project up to date. to students at the University of Ilorin when he was a school lecturer. A note explains some insurance terms used in this project work.

However, none of these authors and their books discuss the principles of insurance contracts as distinct from other contract types, which necessitated the writing of this project work.

1.7.0:
Definition of terms

Insured:
– Refers to a person who has insurance. It simply represents the person or property covered by the insurance policy. This is either property or life.
Insured:
– This refers to the second party in the insurance contract. This party is typically the insurance company that handles the risk.
Bonus:
– Describes the compensation given by the insured for the insurer’s obligation to cover the insured’s risk in the insurance contract.
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Risk of injury:
– This is the physical or material aspect of risk. It affects the probability of occurrence and the degree of damage. Moral Danger:
– It defines the attitudes and behaviors of individuals and society as a whole related to risk. Examples include submitting false or overstated claims.
3rd page:
– An insurance contract has her two parties, the insurer and the insured. All other persons are called third parties because they are outside the contract and are not parties to the insurance contract between the policyholder and the insurer.
Expectations:
– Claims for what is taken for granted, such as claims for compensation under the terms of an insurance contract. You simply make a claim (money) based on the terms of your policy.
1.8.0:
Conclusion

This chapter describes the purpose of this project work, its goals and objectives, outlines what is expected of this study, and defines terms that are likely to be used in this project to guide its success. increase. Also going further to enumerate the names

Books used in this study and their authors update them

and successful ones.