{"id":1175,"date":"2019-05-31T10:54:26","date_gmt":"2019-05-31T16:54:26","guid":{"rendered":"https:\/\/www.insuringky.com\/blog\/?p=1175"},"modified":"2019-05-31T10:54:27","modified_gmt":"2019-05-31T16:54:27","slug":"principle-of-indemnity","status":"publish","type":"post","link":"https:\/\/www.insuringky.com\/blog\/principle-of-indemnity\/","title":{"rendered":"Principle of Indemnity"},"content":{"rendered":"\n
\"Insurance<\/figure>\n\n\n\n
\"principle
The Principle of Indemnity<\/figcaption><\/figure><\/div>\n\n\n\n

To understand insurance one must first grasp the principle of indemnity.\u00a0 The theory is applied to insured losses and seeks to provide fair compensation.\u00a0 Fair compensation to parties, the insured and the insurance company is required.\u00a0 Resolving most losses is unambiguous.\u00a0 Others test the service skills of the insurance agency and require both the insurance company and the insured to commit to the principle of indemnity.<\/p>\n\n\n\n

A cornerstone for insurance, the principle of indemnity\nrequires that an insured may not be compensated more than there economic\nloss.  The insured cannot profit from a\nloss.  If losses became a way for policyholders\nto generate profits, then insurance companies would become subject to adverse\nselection.  This in the quickly cause\ninsurance premiums for all property and casualty policies to rise.<\/p>\n","protected":false},"excerpt":{"rendered":"

To understand insurance one must first grasp the principle of indemnity.\u00a0 The theory is applied to insured losses and seeks to provide fair compensation.\u00a0 Fair compensation to parties, the insured and the insurance company is required.\u00a0 Resolving most losses is unambiguous.\u00a0 Others test the service skills of the insurance agency and require both the insurance […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1,69],"tags":[1301,1308,1305,1307,1303,616,27,1311,1310,1304,1309,618,1302,1306,1312],"class_list":["post-1175","post","type-post","status-publish","format-standard","hentry","category-insurance","category-unmanned-aircraft","tag-the-principle-of-indemnity","tag-cornerstone-of-insurance","tag-do-i-need-the-principle-of-indemnity","tag-foundation-of-insurance","tag-how-does-the-principle-of-indemnity-impact-insurnace","tag-indemnity","tag-insurance","tag-insurance-basics","tag-insurance-core","tag-insurance-principle-of-indemnity","tag-insurance-works-because","tag-principle-of-indemnity","tag-what-is-the-principle-of-indemnity","tag-what-makes-insurance-work","tag-why-insurance-workds"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t