Question

Tarun owns a training school for performing arts in Jaipur. On suggestion of a friend he tool an insurance policy for the school A few months later a fire broke out in one portion of the school due to a gas cylinder burst in the kitchen. The total amount of the loss was estimated to be 40,000/- which included few musical instruments has partly burnt. As per Tarun's estimation Rs. 7000/- could be realized by selling of these instruments. Tarun filed an insurance claim wit the company and received a cheque of Rs. 40000/- in due course of time. But the insurance company refused to let him take the money which was realized by selling the partly damaged musical instruments. Identify and explain the related two principles of insurance that has been described in the above case 3/5​

Answer 1

Answer:

if the school was of arts then were did the gas cylinder come from and the insurance policy can be claimed of the fire on the insurance of the items payed