An insurance policy cannot be assigned if the assignment will significantly alter the risks to, or the duties of, the insurer.

Question

Quizplus · Accepted Answer

Insurance policies typically contain clauses that restrict assignment if it would significantly alter the risks assumed by the insurer or change the duties required of them, as this could affect the terms of the contract and the insurer's willingness to underwrite the policy.

An Insurance Policy Cannot Be Assigned If the Assignment Will