A hammer clause is a type of clause often found in insurance contracts. It typically provides that, if the insurer and the insured cannot agree on the amount of damages to be paid in the event of a covered loss, then the insurer will pay a specified sum of money, and the insured will waive any further claims against the insurer. What is a soft hammer used for? A soft hammer is a type of insurance that covers the cost of repairing or replacing your vehicle if it is damaged in an accident. It is also known as collision coverage.
What is insurance salvage clause? An insurance salvage clause is a clause in an insurance policy that allows the insurer to take possession of, and sell, any damaged or destroyed property in order to recoup some of their losses.
The clause is typically only invoked in cases of severe damage or destruction, where the cost of repairing or replacing the property would exceed the its value. In these cases, the insurer will often declare the property a "total loss" and pay out the policyholder's claim.
The salvage clause gives the insurer the right to sell the property as salvage, usually at auction. The proceeds from the sale are then applied to the policyholder's claim, reducing the amount they will receive from the insurer.
The salvage clause can be a controversial issue, as some policyholders feel that they are being unfairly penalized for having their property damaged or destroyed. Critics also argue that the clause gives insurers an incentive to declare properties a total loss even when repair or replacement might be possible.
Despite these concerns, the salvage clause is a common feature of insurance policies, and is generally considered to be fair and reasonable. Does professional liability cover defense costs? Yes, professional liability insurance typically covers the costs of defending against a claim, up to the policy limit. This coverage is important because the costs of defending a professional liability claim can be significant, even if the claim is ultimately unsuccessful.
What is professional liability insurance coverage?
Professional liability insurance is a type of insurance that protects professionals from being held liable for damages that occur as a result of their professional services. This type of insurance can help protect professionals from lawsuits that may arise from their work, as well as from any damages that may be awarded to the plaintiff in a successful lawsuit.
What subrogation means?
Subrogation is a legal process that allows an insurance company to collect money from a third party that is responsible for damages covered by the insurance policy. The insurance company steps into the shoes of the policyholder and pursues the third party for reimbursement of the claim paid out by the insurance company.