attachment of risk


attachment of risk
The inception of liability under a contract of insurance to answer for any loss or damage that may result from a risk insured against during the term of the insurance in an amount not exceeding the amount stipulated in the contract. This involves both time and subject matter; that is, the question when the risk attaches, as well as the question to what it attaches or under what circumstances it will attach. In order that a risk insured against shall attach and become an existing obligation under which the insurer may become liable, it is first necessary, of course, that there should be a completed contract of insurance. Conditions of the policy fixing an earlier or later date for the risk to attach or purporting to cover property not yet owned or in existence at the time the contract of insurance is completed, also enter into the broad question of when the insurer's risk under a policy of insurance attaches and has its inception. 29 Am J Rev ed Ins § 309.

Ballentine's law dictionary. . 1998.

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