ELEMENT OF INSURANCE CONTRACT

Insurance is an agreement between two parties known as the insurer and the insured, whereby the insurer agree to provide cover for the insured on a stipulated certain amount known as PREMIUM. 

The insurer is the party that provides insurance cover to the insured and compensate the insured for losses incurred.

The insured is the party that seeks for protection from the insurer which is the insurance company.The insured is the proposer. 

ELEMENT OF INSURANCE CONTRACT

1.Offer: This aspect comes from the insured.

2.Acceptance: This aspect comes from the insurance company that is the insurer like wise.

3.Intention to create legal relationship: That is the both parties must have mutual intentions for themselves