English

According to Causa proxima principle, it is the duty of the insured to take all possible steps to minimise the loss or damage in case of a mishap.

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Question

According to Causa proxima principle, it is the duty of the insured to take all possible steps to minimise the loss or damage in case of a mishap.

Options

  • True

  • False

MCQ
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Solution

False

Explanation:

Causa proxima (proximate cause) identifies the immediate, dominant cause for insurer liability. The insured’s duty to take reasonable steps to minimise loss is the separate “mitigation of loss” principle, not the causa proxima rule.

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Chapter 13: Logistics and Insurance - EXERCISES [Page 248]

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Goyal Brothers Prakashan Commercial Studies [English] Class 10 ICSE
Chapter 13 Logistics and Insurance
EXERCISES | Q 40. | Page 248
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