The principle of indemnity ensures that you receive compensation for the financial loss you suffer due to a covered event, but without making any extra profits. It means that your financial position before the loss should be restored.
When you have insurance coverage based on this principle, the insurer will compensate you for the actual amount of the loss, up to the limits set in the policy or the value of the insured item. This indicates that if you experience a covered loss, like damage to your property or a car accident, the company will pay for the necessary repairs or the fair market value of the item.
This principle helps prevent situations where someone intentionally causes damage or insures an item for more than its value to benefit financially from a loss. It promotes fairness and guarantees that the purpose of insurance is to provide financial protection and restore you to the same monetary position you were in before the loss.
The indemnification clause within an insurance contract specifically establishes the terms and conditions under which this principle of indemnity will be applied.
PSIC applies this principle during the investigation of the claim and the case in general. It is important to keep this in mind because if it is not fulfilled, you may not have coverage.
It is crucial to consult with your producer to ensure that you understand and fulfill all the necessary requirements to maintain your policy. They can provide valuable guidance and assistance throughout the claims process, helping you navigate any potential issues and ensuring that you receive the protection you need.
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Copyright © McGraw Insurance Services, L.P., Delaware L.P., 5515 E. La Palma Ave. Ste. 150, Anaheim, CA 92807, License 0K06900 / National Producer No. 17486061 The insurance policy, not the contents of this website, forms the contract between the insured and the insurance company. The policy may contain limits, exclusions and limitations that are not detailed on this website. Coverage may differ by state.
Privacy Notice at Collection for CA employees
Last updated: June 27, 2023
We take the privacy of our employees and applicants very seriously. Please read this notice carefully as it contains important information on the personal information that we collect, why we collect it, how long we keep it, and that it is not sold to third parties.
Other terms used but not defined will have the meaning set forth in the CCPA, as amended by the CPRA, Cal. Civ. Code §§ 1798.100—1798.199.100, and accompanying regulations set forth under Cal. Code Regs. tit. 11, § 7000 et seq.
Categories of Personal Information Collected
Purposes for Collecting and Using Your Personal Information
Managing Human Resource Functions:
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We will not retain your personal information for longer than necessary for the purposes set out in this notice. Different retention periods apply for different types of personal information.
When it is no longer necessary to retain your personal information, we will delete or anonymize it.