Fire Insurance

A factory owner took a fire insurance policy for his factory without informing the insurance company that he received notice from electricity department to get the wiriing of the factory repaired. After six mounts of taking policy the factory caught fire due to faulty wiring . Will the factory owner get compensation for the loss due to fire? which principle of insurance is related with this case ? Explain that principle .

A merchant takes fire insurance policy to cover 80 % of the value of his stock. Stock worth Rs.80,000 was completely destroyed in a fire. while the rest of stock was reduced to 20% of its value. If the proportional compensation under the policy was Rs.67,200, find the value of the stock.

Harish took a fire insurance policy of Rs 20 Lakh for his factory at the annual premium of Rs 24,000. In order to avoid higher premium, he did not disclose that a highly explosive chemical is being used in his factory . Due to an accidental fire, his factory gate severely damaged . The insurance company refused to pay the claim as it came to know about the fact. Is company justified in doing so? Also state the principle of insurance involved here.

Explain the difference between Life Insurance and General Insurance.

Life Insurance

Study the following cases and answer the given questions: (a) Chatan gats his oil-godown doubly insured against fire for Rs 5,00,000 with insurer 'Easy General Insurance' and for Rs 15,00,000 with insurer 'Risk free Insurance (P) Ltd'. Due to a short circuit, an unforeseen loss by fire of oil stock worth Rs 6 Lakh occurred on 11th September. How much cornpensation can be claim from each of the insurers? Give reassons. (b) Anand was suffering from terminal intestinal cancer disease, which he did not disclose while taking a medical cum heath insurance policy from Star Health Insurance (P)Ltd. Can he legally succeed to get claim for reimbrusement of hospitalization bills under the Mediclaim policy? Why?