Mr. Lawal insured his warehouse against burglary but it was later gutted by fire. this implies that?

Assessment: JAMB UTME - Commerce - 2011 Subject: Commerce

Question 1 Report

the loss should be borne by the insurer

Mr. Lawal is liable only for half of the estimated loss

the insurer should make a consolation payment for the loss

the loss should be borne by Mr. Lawal

Answer Details

This implies that the loss should be borne by Mr. Lawal. When Mr. Lawal insured his warehouse, he only insured it against burglary, not fire. So, if the warehouse was gutted by fire, the insurance policy would not cover the loss and Mr. Lawal would be responsible for covering the cost of the damages or loss.

Read lesson note on Legal Aspects Of Business (JAMB)

Legal Aspects Of Business

View Answer

Mr. Lawal insured his warehouse against burglary but it was later gutted by fire. this implies that?

Related Questions

Download The App On Google Playstore