Commencement of Risk
/kəˈmɛnsmənt əv rɪsk/
Definitions
- (n.) The point in time at which an insurer's liability under an insurance policy begins, typically when the risk insured against starts.
The commencement of risk under this property policy is set at 12:01 a.m. on the effective date.
Forms
- commencement of risk
Related terms
See also
Commentary
The term is crucial in insurance contracts to specify when coverage starts and the insurer’s responsibility begins.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.