Analysis On Insurable Interest Principle

Insurance Industry is developing rapidly in recent years, and insurable contract disputes appear at the same time which have made bad effects to the sound development of the Insurance in a great degree while the imperfect regulations for the insurable interest in Chinese Insurance Law is a great cause. Although making some progress and perfection to the Insurable Interest Principle, the new Insurance Law still exist certain legislation defects and can not satisfy the law requirements for the fast development of the Insurance Industry. Meanwhile legislation of this field in China start late in China and remain relatively behind, learning and making advantage of foreign advanced and mature theories and practices becomes necessary. As an important principle in Insurance Law theories, Insurable Interest Principle not only decides the effectiveness of Insurance Contract, but plays an important role in insurance subject, insurance value and insurance interest transfer, etc. Both legislation defects and doubts in legal practices restrict the development of insurance industry, so we need make a more careful research in relative theories of insurance interest principles. Consequently, the research in this subject is quite practical and necessary.The theme of this essay is insurable interest principle. Based on the analysis of the insurable interest principle’s theories, this essay analyzes the legislation and cases of the insurable interest principle in two different legal systems, and further discusses the regulations and major changes of the insurable interest principle in Chinese insurance law. The essay not only comprehensively and fully affirms the achievements of the new insurance law but points out the shortcomings still existing in the revised insurance law. Based on the legal practices, the essay reveals the problems of the insurable interest principle through certain cases which not only do harm to the rights of clients but prohibit the sound development of insurance industry against the original intention of setting up the principle. In order to make sure of the properness of the insurable interest principle, effectively guide legal practices, correcting the existing problems, the essay positively points out countermeasures and suggestions, correct the shortcoming of the legislation, standardize the legal actions of the judges in legal practice, promoting the insurance enterprises raising their attitudes to themselves, set up good social image, set up the ideal system for the parties of insurance contract and finally change the current situation to the most extent.The essay has three main parts:recital, text and conclusion. The text is divided into four chapters in course of raising, analyzing and solving problems. The recital introduces the background of the theme, content and way of research.The text includes four chapters. The chapter one introduces the basic theories of insurable interest principle, discussing the definition, elements, functions, classification and history of the insurable interest principle first, following the existence, transfer and extermination.Chapter two introduces the legislation in common law and civil law, analyzes the advantages and shortcomings of both law systems by comparison, and finally discusses the legislation in Chinese insurance law.Chapter three discusses the progress and shortcomings of new Insurance Law of China, at beginning aiming at the definition, then the clauses and regulations of property insurance law and finally aiming at the personal insurance law.Chapter four provides the settlement. Based on the current situation of insurable interest in China, the essay points out suggestions from legislation, law and self-improvement of the clients to perfect the law.Finally, the essay reach the theme as the conclusion based on the whole passage.