What is the difference between an insurance policy and a contract of insurance?

The difference between an insurance policy and a contract of insurance is the scope of coverage. An insurance policy is a written agreement between an insurance company and a policyholder that outlines the coverage, exclusions, and benefits the policyholder is entitled to in the event of a claim. The policy is the legal document that governs the terms of coverage and outlines the insurer’s obligations to the policyholder. A contract of insurance, on the other hand, is the actual agreement between the insurer and the policyholder. This agreement details the specific conditions and terms of the coverage, such as deductibles, limits, exclusions, and other important information. The contract of insurance is the legally binding document that is signed by both parties and stipulates the exact rights and responsibilities of each. In New Hampshire, insurance policies are regulated by the state’s Department of Insurance. The Department’s primary objective is consumer protection, and it is responsible for enforcing state laws governing insurers, including the regulations of insurance policies and contracts of insurance. It is always important to review your policy and contact your insurance provider to make sure you have the correct coverage for your needs.

Related FAQs

What are the legal requirements for filing an insurance claim?
What types of insurance are available to businesses?
What is the difference between a surety bond and an insurance policy?
What is the difference between first-party and third-party insurance claims?
What is the difference between an insurance policy and a bond?
What is the difference between an insurance policy and a contract of insurance?
What is the role of an insurance examiner?
What type of coverage is included in auto insurance policies?
What is the difference between public and private insurance?
What is the difference between claims-made and occurrence insurance?

What is the difference between an insurance policy and a contract of insurance?

Related FAQs

Related Blog Posts