Mohan has taken an insurance policy for his showroom. There was a fire and he suffered a loss of Rs.5Lakhs. Heg ets full claim from the insurance company. There are semi burnt chairs and counters which can be sold for Rs.10,000. Who has the Right to sell these items? Justifs them your answer in detail. (5 marks Q)
Dear student.
The right to sell semi burnt chairs and counters rest with the insurer, i.e. insurance company as the principle of Subrogation states that once the compensation is paid, the right of ownership of damaged property passes to the insurer.
Regards
The right to sell semi burnt chairs and counters rest with the insurer, i.e. insurance company as the principle of Subrogation states that once the compensation is paid, the right of ownership of damaged property passes to the insurer.
Regards