Page 319 - Misc Ebook IC 78

Miscellaneous Insurance

bears to the extent of its own limit of liability. Although
an insured can opt for a number of Personal Accident
policies, insurers generally tend to restrict a person to
prevent over insurance.

A condition is also incorporated sometimes that no
additional coverage can be taken without the consent of
the existing insurer.

(d) Subrogation - This principle does not apply to contracts
which are not of strict indemnity. However, it is applicable
in certain cases, for e.g, Videsh Sanchar Yatra Mitra
Policy provides that in the event of payment claim for
total loss of baggage, any recovery from the particular
airlines in terms of warsaw convention shall become
the property of insurers. Since this particular section of
policy covers property, the principle of indemnity can be
followed strictly.

(e) Proximate cause - The doctrine of proximate cause is
relevant even in settlement of Personal Accident related
claims. For example.

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