Insured Interest
/ˈɪn.ʃʊəd ˈɪn.trɪst/
Definitions
- (n.) A legally recognized financial stake in the subject matter insured, entitling the insured to claim for loss or damage.
The insured interest must exist at the time of the loss for a valid insurance claim.
Forms
- insured interest
Related terms
See also
Commentary
An insured interest is a prerequisite to recover under an insurance policy; it ensures the policyholder suffers a legitimate loss, preventing wagering contracts.
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.