3. Which principle of insurance is highlighted in the following statements? a. Insured should take the reasonable steps to minimise the loss. b. Insured is entitled to recover the loss suffered by him, up to the limit of policy amount.
4. Discuss various points of difference between Services and Goods.
Santosh,
3. (a) Principle of Mitigation: The insured should take care of the insured object in the same way as he or she would have in the absence of the insurance.
(b) Principle of Indemnity: It implies that the purpose of an insurance contract is to bring back the insured to the same financial position as he/she was before the loss occurred to him or her (because of a mishap).
To view the difference between goods and services, refer to the following link.
https://www.meritnation.com/ask-answer/question/what-is-the-difference-between-goods-and-service-atleast-5/introduction-to-accounting/2639694
3. (a) Principle of Mitigation: The insured should take care of the insured object in the same way as he or she would have in the absence of the insurance.
(b) Principle of Indemnity: It implies that the purpose of an insurance contract is to bring back the insured to the same financial position as he/she was before the loss occurred to him or her (because of a mishap).
To view the difference between goods and services, refer to the following link.
https://www.meritnation.com/ask-answer/question/what-is-the-difference-between-goods-and-service-atleast-5/introduction-to-accounting/2639694