Over Insurance Law and Legal Definition
Over insurance is an insurance effected upon property where an insured has bought so much coverage that it exceeds the actual cash value of the risk or property insured. Over insurance constitutes a moral hazard for an insurance company because the insured may be tempted to make a false claim to profit from a loss. Various safeguards are designed to prevent over insurance. However, some types of coverage, particularly disability income insurance, are subject to over insurance abuse.
Legal Definition list
Related Legal Terms
- Absolute Poverty
- Abuses of Governmental Power Identified Under “Watergate”
- Accelerated Cost Recovery System
- Accelerated Life Insurance Benefits
- Accident Insurance
- Accidental Death and Dismemberment [Insurance]
- Accommodation Line [Insurance]
- Accompanying the Federal Government Outside the United States
- Accountants Professional Liability Insurance
- Accounts Receivable Insurance
