Practice question
Leo expects a wealthy neighbor to give him a painting someday. He has no actual right, valid contract or other insurable relation to it. He seeks insurance solely on that expected gift. Apply Section16.
- The mere expectancy is not insurable
- Every hoped-for gift creates an existing property right
- Calling the hope a policy makes it an actual right
- The neighbor’s wealth alone creates Leo’s interest
- A premium automatically cures absence of interest
Legal references
- Insurance Code as amended RA10607: https://lawphil.net/statutes/repacts/ra2013/ra_10607_2013.html Sections10,14,16 and20–25.
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