Insuring Agreement Definition

An insuring agreement presents the contracted obligations of the two parties to an insurance policy.

An insuring agreement is the effective content within an insurance policy that outlines the key parties involved, their contractual obligations, and the basics of what is covered and how.

Contracting Parties

The two parties involved in insurance policy, as defined within the insuring agreement, are the insurance provider or insurer, and the person, business, or group being insured. They are known as the "parties to the contract."

Terms

Terms of the insurance policy are a main component in the insuring agreement. Key terms of the insurer's obligation include timing of start and end dates for coverage. Premium payments for the insured are also stated.

Coverage

The insuring agreement usually concludes with basic details of the protection guaranteed by the insurer. This part includes types of events covered by the policy, any limitations, considerations and perils, and details on any policy assignment restrictions.

References

• AllBusiness: Business Definition For: Insuring Agreement, Property and Casualty Policy
• Dictionary: Define Insuring Agreement
• Ahtins: Insuring Agreement