Term
| Statutory Condition 1: Misrepresentation. |
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Definition
| Consists of a misstatement and/ or fraudulent omission of a material fact. |
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Term
| Statutory Condition 2: Property of Others. |
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Definition
| Property of others is not covered unless the interest of the insured is stated in the contract. |
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Term
| Statutory Condition 3: Change of Interest. |
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Definition
| Policy automatically continued to protect insureds after an authorized assignment under the Banckruptcy Act or insureds who have possession of insured property as a result of a change of title due to succession, operation of law or by death. |
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Term
| Statutory Condition 4: Material Change. |
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Definition
A Material Change is any change within the control and knowledge of the insured which;
1.) Arises after the policy has been issued; and
2.) Servesto increase the chance of loss. |
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Term
| Statutory Condition 5: Termination. |
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Definition
| When contract is terminated, it is required that the insured be provided with 15 days notice by registered mail, or 5 days notice when personally delivered. |
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Term
| Statutory Condition 6: Requirements After a Loss. |
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Definition
| Identifies the documents needed when a claim is filed. |
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Term
| Statutory Condition 7: Fraud. |
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Definition
| A deliberate attempt to decieve with a view to securing some profit. |
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Term
| Statutory Condition 8: Who May Give Notice and Proof. |
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Definition
| Entitles any party of interest or agent of the insured to file a claim on behalf of the insured. |
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Term
| Statutory Condition 9: Salvage. |
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Definition
| Requires that the insured take all reasonable steps to protect insured property from further damage. |
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Term
| Statutory Condition 10: Entry, Control, Abandonment. |
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Definition
| Insurer is not entitled to rights of ownership or control; nor can the insured abandon insured property to it. |
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Term
| Statutory Condition 11: Appraisal. |
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Definition
| Option available to either the insurer or insured when there is disagreement as to the value of property insured, saved or amount of loss. |
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Term
| Statutory Condition 12: When Loss Payable. |
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Definition
| Payment required to be made within 60 days after completion of proof of loss, unless the contract provides for a shorter period. |
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Term
| Statutory Condition 13: Replacement. |
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Definition
| Requires that notice of insurer's intentions to replace property, be provided to the insured within 30 days after proof of loss. |
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Term
| Statutory Condition 14: Action. |
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Definition
| Must be commenced within one year (two years in Manitoba & Saskatchewan) after loss occurs. |
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Term
| Statutory Condition 15: Notice. |
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Definition
| Written notice to the insurer can be delivered at or sent by registered mail to the chief agency or head office of the insurer in the province. |
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