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

An insurance policy and an insurance contract are two fairly similar concepts in insurance law. However, they are still distinct from each other and serve different purposes. An insurance policy is an agreement between an insurer and an insured that outlines the terms and conditions of the coverage being provided. It includes the specific details of the policy, such as who is covered and what risks are being insured against. The policy also explains what benefits are included, what exclusions apply, and what the insurer’s deductible is. An insurance policy is a form of contract that both parties must agree to. An insurance contract, on the other hand, is a legally binding agreement between the insurer and the insured that outlines the terms and conditions of the insurance policy. It outlines the duties and rights of both parties, and any changes or modifications to the policy must be agreed upon by both parties in writing. The contract also specifies the premiums to be paid, the type of coverage, and the duration of the policy. In summary, an insurance policy is an agreement between an insurer and an insured that outlines the basic details of the coverage being provided. An insurance contract, on the other hand, is a legally binding agreement outlining the specific terms and conditions of the insurance policy.

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