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WAEC Commerce 2022 Objective — Question 23

Question 23 of 50 from the West African Examinations Council (WAEC) Commerce 2022 Objective paper, with the correct answer and a full explanation.

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The principle which prevents an insured from receiving a claim that is more than the value of the loss, if the property is insured by more than one company is

  • A. indemnityCorrect
  • B. contribution
  • C. proximate cause
  • D. uberrimae fidei

Explanation

The principle of indemnity in insurance ensures that an insured party does not receive a claim more than the value of the actual loss suffered.

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