Sukarn has taken fire insurance policy for his factory Due to fire he suffered a loss of rs - Business Studies - Business Services

Question

Sukarn has taken fire insurance policy for his factory Due to fire
he suffered a loss of rs 2 lakh and he gets the compensation for
the same the half burnt goods can be sold for rs 30000 Who has the
right over it? Why?

Mansi Jain · Answer

The insurance company has the right over it as according to the
principle of subrogation when compensation is paid to the insures
for the loss occurred to his property the righ of ownership of
sunch property passes on to the insurer

Sukarn has taken fire insurance policy for his factory. Due to fire he suffered a loss of rs. 2 lakh and he gets the compensation for the same. the half burnt goods can be sold for rs. 30000. Who has the right over it? Why?