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Their owners bought them on the assumption that they would be insurable against flooding, among other risks.
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We empirically test the theory (and the intuition) suggesting that people bearing an uninsurable background risk are less willing to bear other insurable risks and therefore increase their demand for insurance against insurable risks.
De Beers might be an exception: if an NGO campaign made diamonds unfashionable, thus reducing the value of De Beers' stockpile (currently valued at about $4 billion), the damage would be quantifiable, and therefore, in theory at least, insurable.Where risks cannot be insured against, they can often be subcontracted.
It is the most morally questionable form of insurance, because it lets one insure against the borrower defaulting on, say, a bond, without having an insurable interest in that bond.
From the standpoint of the insurer, an insurable risk must meet the following requirements: 1.
Loss payments also are limited to the amount of an insured person's insurable interest.
State-run plans determine their own premiums based on what the private insurance market charges insurable members.
From the viewpoint of the insured person, an insurable risk is one for which the probability of loss is not so high as to require excessive premiums.
If you have seen the show you know they often give a value referred to as insurance value or insurable value.
"If an insurer believes there is an insurable risk, they will price it accordingly," says Martin Bamford of independent financial advisers Informed Choice.
The NHI enrollment files provide information on the insurable wages and occupations of the insured.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com