JAMB - Commerce (2025 - No. 58)

Which of the following is not a principle of insurance?
Insurable risk
Insurable interest
Indemnity
Subrogation

Explanation

The principles of insurance include indemnity, subrogation, insurable interest, utmost good faith, proximate cause, and
contribution. However, 'Insurable risk' is not a principle of insurance. It is a term used to describe a risk that meets the ideal
criteria for efficient insurance. The risk must be definable, financially measurable, and non-catastrophic, allowing the insurer to
charge a reasonable premium.

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