Property insurance

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

The concept of "property insurance" includes the legal definition of insurance for the interests of legal entities and individuals. Insurers form a certain cash account, which is used to pay certain insured events. Today, the circle of insurers has expanded, the concept of "property insurance" has changed. What does it mean now?

The new edition of the Insurance Law provides for property insurance of individuals related to their interests in the use, possession and disposal of property.

When an insurance company concludes an insurance contract with citizens, it undertakes to compensate them for the damage caused to this property. Civil liability has several characteristic features:

- property right;

- civil law, which includes the responsibility of two participants who have entered into civil law relations with each other;

- the amount of liability depending on the amount of loss or damage caused.

Property insurance can be carried out in two forms: compulsory and voluntary.

In case of voluntary insurance of property between the insurer and the insured, an agreement is drawn up or insurance rules are established on the basis of current legislation. All conditions must be specified in these documents.

If this is compulsory property insurance, then civil liability should be determined by law. Therefore, this type of insurance must be notarized.

Property insurance is one of the industries. In it, property and property interests act as insurance relations. From an economic point of view, property insurance is compensation for damage that occurs as a result of an insured event.

The insured may insure his own property, as well as property in his possession, disposal and use. These can be land and air transport, cargo, buildings and structures, animals, equipment, crops, a farm, and more.

Insured objects are divided into household items, buildings, vehicles and animals. When animals are insured in case of death, forced slaughter from natural disasters, infectious diseases or fire, they are insured based on the book value of 70%. Small farm animals are allowed to be insured voluntarily. They are insured at full value together with the building and household goods. This is done under separate property insurance forfarmstead.

If property insurance concerns houses, garages or outbuildings, then compulsory insurance provides for 40% of their value according to the state assessment, and for voluntary insurance - 60%.

It should be noted that banknotes, documents, manuscripts, securities, items made of precious metals and antiques are not subject to insurance.