Amount of insurance

The so-called insurance amount refers to the maximum amount of liability of the insurance company for compensation or payment of insurance benefits under an insurance contract, that is, the amount of insurance policy-keeping for the subject matter of the insurance, and at the same time the basis of the calculation of the insurance company's insurance premium. In the property insurance contract, the valuation and determination of the insurance value directly affect the size of the insurance amount. The insurance value equals the insurance amount is full insurance, the insurance amount is less than the insurance value is not full insurance, the insurance subject matter of part of the loss, in addition to the contract otherwise agreed, the insurance company according to the insurance amount and the proportion of the insurance value compensation;

Introduction to insurance amounts

The amount of insurance refers to the maximum amount of liability for compensation or payment of insurance benefits by the insurer.

In different insurance contracts, the methods and principles for determining the amount of insurance are different:

In the property insurance contract, the valuation and determination of the insurance value directly affect the size of the insurance amount. The insurance value equal to the amount of insurance is full insurance. The insurance amount is lower than the insurance value is the insurance company's compensation according to the ratio of the insurance amount to the insurance value. The amount of insurance exceeds the insurance value is excess insurance, the insurance amount exceeding the insurance value is invalid, the malicious excess insurance is fraud, which may invalidate the insurance contract.

In the life insurance contract, the value of the person can not be measured, the amount of insurance is agreed by both parties in the life insurance contract, the maximum payment by the insurer or the amount of actual payment.

Necessity

Corporate property

The amount of enterprise property insurance is the amount of the insured person's actual insured amount to the subject of the insurance, that is, the maximum amount of liability borne by the insurer. The method of determining the amount of insurance is different when property of different nature is insured.

(1) The determination of the amount of fixed asset insurance.

(2) Determination of the amount of current assets insurance.

(3) Determining the amount of property insurance that has been marketed or not included in the book.

Cargo transport

The insurance amount of cargo transport insurance shall be provided by fixed-value insurance, which shall be agreed in advance by the parties to the contract on the actual value of the insurance goods, and shall be set up on the insurance policy as the basis for the insurance amount.

Criteria for determining this value

(1) Destination cost price. The so-called destination cost price refers to the purchase price of the goods (including the shipping fare or transfer price) plus all shipping charges, packaging charges, insurance premiums and taxes to the destination.

(2) The market price of the destination. The so-called destination market price refers to the sale price of the goods to the destination, that is, the actual cost price of arrival at the destination plus the legitimate profit.

Life

For compensatory insurance contracts, the insured is economically restored to the state before the loss is required by the principle of compensation through loss compensation. Life insurance is a fixed-value insurance contract for payment, which does not apply to the principle of compensation of insurance, the insurance amount of the traditional life insurance policy is the death payment of the policy, therefore, the determination of the insurance amount of life insurance policy is very important. There is no limit to the amount of insurance in a life insurance policy, nor is there a policy term that limits the amount of insurance payment, but this does not mean that the life insurance policy has no restrictions on the determination of the amount of insurance. The purpose of life insurance should be to keep the relatives and families of the insured financially at the same level as before after the death of the insured through the payment of death insurance. This is the principle of determining the amount of life insurance coverage.

The insured has a insurable interest to the insured person is a prerequisite for the purchase of life insurance policies, because the insurable interest is an uncertain benefit, so to analyze the economic impact of the insured's early death on the insured or beneficiary, although in many cases, this economic loss can not be accurately measured, but can be measured by the demand method and the life value method of the financial difficulties and burdens caused by the early death of the insured, the severity of the economic loss, This extent of loss is also used as a basis for determining the amount of insurance.

Difference

1. Any insurance contract, whether personal insurance or property insurance must have the amount of insurance, the amount of insurance is the maximum amount of the insurer's liability, but also nominally exposed to the value of the risk. The insurance value is the intrinsic value of the insurance target, which does not necessarily need to be agreed in the insurance contract. In property insurance contracts, some agree on the value of insurance, some agree on the criteria for determining the value of insurance, and some do not agree on the value of insurance - at this time the determination of the value of insurance is determined in accordance with the law. Personal insurance contract generally does not agree on the value of insurance, because human life, body can not be measured by money, its insurance value is infinite.

2. An insurance amount must be determined at the time of conclusion of an insurance contract, but not necessarily the value of the insurance, such as an uncertain value insurance contract at the time of the conclusion of the insurance value is not required to determine the value of the insurance.

3. The amount of insurance is the basis for the insurer to collect the insurance premium, and the insurance value is the basis for the insurer to judge whether the insurance is adequate.

4. The amount of insurance is the actual insured amount of the insured, and it is also one of the maximum compensation limits of the insurer. In addition to the limitation of the actual loss, the insurer's compensation is also limited by the amount of insurance and the value of the insurance, that is, the insurance compensation is limited to the actual loss, the amount of insurance is limited, and the insurance value is limited.

Contact

The amount of insurance is determined according to the value of the insurance and generally does not exceed the value of the insurance. The insurance value is the basis of the calculation of the insurance compensation amount, and the amount of insurance compensation can not exceed the insurance amount. Both affect the determination of the amount of insurance compensation.