Authorised motor insurers and employers’ liability are restricted in their ability to avoid liability under policies covering compulsorily insured liabilities. Where a claim is met solely because of the nonavoidance provisions the insurer has a right of recovery against the insured.
Tag: RAW
Non-cancelable or non-cancelable and guaranteed renewable policy
A policy which the insured has the right to continue in force by the timely payment of premiums set forth in the policy to a specified age, during which period the insurer has no right to make unilaterally any change in any provision of the policy while the policy is in force.
Non-Cancellable Policy
An Insurance contract that may not be terminated. A continuous term health insurance policy that guarantees the insured the right to renew for a stated number of years or to a stated age (usually +60) with the premium at renewal guaranteed.
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See: PERMANENT POLICIES.
Non-Cash Advice
A preliminary advice to an underwriter about a premium or claim.
Non-concurrent policies
Separate policies covering the same property but where the overlap is not complete as one policy may be specific (insures A) and the other more general (insures A, B and C). If A is damaged contribution may arise subject to the two conditions of average.
Non-consumer sales
A non-consumer sale takes place when the purchaser buys the goods for his business. All businessto-business transactions are non-consumer sales. The seller is permitted to exclude his liability for the implied terms under the Sale of Goods Act 1979, fitness for purpose and satisfactory quality, provided that the exclusion clause passes the test of reasonableness. Compare with consumer sales.
Non-Contribution Clause
A clause in a contract of indemnity which seeks to provide that in the event of another insurance covering a claim the insurers with the non-contribution clause shall not be required to contribute to settlement of the claim.
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See: More Specific Insurance Clause.
Non-contributory
Pension schemes and employee benefit plans when the cost is wholly borne by the employer. The term does not apply to contributory schemes under which contributions are suspended during a contribution holiday.
Non-Currency
Two policies issued on the same interest that do not agree in their terms.
Non-delegable duties
Duties of a personal nature. The person responsible has a duty to see that proper care is taken and, even though he may engage a contractor to carry out the duties, he remains liable for any breach of duty. For example, a principal may engage a contractor to perform acts involving strict liability as in Rylands v. Fletcher.