Contract Elements and Insurable Interest

What this video covers

• The four elements of a valid insurance contract: offer and acceptance, consideration, competent parties, and legal purpose
• How legal capacity differs from physical health, financial status, or the ability to pay premiums
• The differences among conditional, unilateral, adhesion, and aleatory insurance contracts
• Why a legitimate family or financial relationship can support insurable interest when arranging coverage on another person
• The distinct roles of the policyowner, insured, and beneficiary, and why they do not have to be the same person
• Why a signed application does not by itself establish acceptance or the policy’s effective date
• How procuring new coverage differs from transferring an existing valid policy