Dileep Sharma has an insurance policy with Active Insurance Ltd. His car got damaged in an accident caused by another vehicle of Raja, whose vehicle is insured with Robust Insurance Co. Ltd. Dileep incurred an expenditur
CS Professional · Banking and Insurance - Laws and Practice · PYQS · December 2025
Dileep Sharma has an insurance policy with Active Insurance Ltd. His car got damaged in an accident caused by another vehicle of Raja, whose vehicle is insured with Robust Insurance Co. Ltd. Dileep incurred an expenditure of ₹ 25,000 for repairs of his car, which he claims and receives from Active Insurance Ltd. In this situation, answer the following: Can this principle be waived by contract ? If so, how?
Answer & Explanation:
Waiver of Subrogation is a clause in insurance agreement. In this, the insurance company agrees to waive its right to pursue recovery from third-party who is responsible for loss. When waive right of subrogation, business (and insurance company) is prevented from seeking a share of any damages paid. Typically, insurers charge an additional fee for a waiver of subrogation endorsement.
Topics: Principles of Insurance
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- Dileep Sharma has an insurance policy with Active Insurance Ltd. His car got damaged in an accident caused by another ve...
- Dileep Sharma has an insurance policy with Active Insurance Ltd. His car got damaged in an accident caused by another ve...