Any statement in a judgment that is not essential to the principle of law on which the court’s judgment is based.
Insurance Encyclopedia
Object
See: Boiler & machinery insurance.
Objective of RPG Rules (1998)
The objective of these Rules are to resolve all complaints relating to settlement of claim on the part of insurance companies in cost effective, efficient and impartial manner.
Objective Probability
An estimate of loss frequency based on observing what has happened in the past and assuming the same will happen in the future. Insurers prefer to have objective probability estimates rather than subjective ones.
Objective Risk
Chance of loss measured by an objective probability, rather than by judgment.
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The relative variation of actual from probable loss.
Obligatory Treaty
REINSURANCE: A reinsurance contract (usually pro-rata) under which the subject matter business must be ceded by the ceding insurer in accordance with contract terms and must be accepted by the reinsurer.
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REINSURANCE: A reinsurance contract under which the subject business must be ceded by the insurer in accordance with contract terms and must be accepted by the reinsurer.
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UK: A reinsurance treaty under which the original insurer must cede and the reinsurer must accept all risks falling into the class of business covered by the treaty.
Oblige
A person or firm protected by a bond similar to the insured under a Policy of Insurance.
Oblige line
An alternative term for accommodation line.
Obligee
A term used in surety bonds to refer to the individual or firm that is to benefit from the bond’s protection. A performance bond, for example, provides the obligee property owner with recourse if the bonded contractor, the principal, fails to perform.
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Broadly, anyone in whose favor an obligation runs. Frequently used in surety bonds, this refers to the person, firm or corporation protected by the bond.
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The person in favour of whom some obligation is contracted, whether such obligation be to pay money, or to do, or not do something, the party to whom a bond is given.
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UK: The person or firm protected by a bond. In a performance bond it is the property developer.
Obligee (Surety)
A term used to mean the person who is protected by a bond. Comparable to the insured in an insurance policy.