Whether The Principle Of Loss Compensation Applies To Insurance

The Principle of Loss Compensation is a crucial principle in the field of insurance law.The core of it is to prevent the insured from living more than the actual loss due to the occurrence of an insurance accident.The traditional theory holds that The Principle of Loss Compensation only applies to Property Insurance.There is no possibility of applying this principle in Life Insurance.However,with the development of the insurance law,at present,The Principle of Loss Compensation for Life Insurance can be different from the traditional theory,and it has developed into three different theoretical theories,Affirmative theory,Negation theory,Eclectic theory.Exploring these three theories,we can find that the Negation theory said that Medical Insurance is a kind of Personal Insurance,does not have compensatory,and there is no room for The Principle of Loss Compensation.It is certain that there is different between the Affirmative theory and Eclectic theory,but in conclusion,Medical Insurance is considered to be compensatory,and The Principle of Loss Compensation can be appliedIn addition to the theoretical dispute over whether the Medical Insurance can apply The Principle of Loss Compensation,there are different views on this in legislation and practice.Through the analysis of the "Insurance Law" and "Health Insurance Management Measures",it can be seen that China's legislation considers that Medical Insurance is a type of Personal Insurance,and clearly retains the existence of Fixed-quantity Medical Insurance,but at the same time." Health Insurance Management Measures " and the Interpretation of the Supreme People's Court on the Application of Certain Issues in the Insurance Law of the People's Republic of China(?)recognize the existence of Expenses Compensation Medical Insurance,and allow Expenses Compensation Medical Insurance to apply The Principle of Loss Compensation According to the above different regulations,there are also cases in which the same type of case produces different judgmentsIn theory and practice,there are different views on whether the Medical Insurance can apply The Principle of Loss Compensation.The reason is that the nature of Medical Insurance has not yet reached a consensus.By analyzing the objects covered by Medical Insurance,it can be seen that the Expenses Compensation Medical Insurance that simply compensates for the loss of medical expenses is compensatoty,and the Fixed-quantity Medical Insurance for compensating the medical behavior itself to cause physical and mental damage to the insured.For Fixed-quantity Medical Insurance,it has a quota.In order to better realize the recognition of the nature of Medical Insurance.the insurance law should implement the classification of Compensation Insurance and Fixed Insurance as soon as possible,and abandon the traditional classification of Personal Insurance and Property Insurance.There are still some difficulties based on the revision ofthe law at this stage,so in order to achieve a better transition.the concept and classification of Intermediate Insurance should be introduced without changing the original classification of Life Insurance and Property Insurance in the legislation.and the Medical Insurance is placed in the part of the Intermediate Insurance,thus allowing the applicable Loss Compensation Principle within the scope of the Expenses Compensation Medical Insurance.At the same time,when the legislation has not been amended,the freedom of contract should be fully respected,and the parties to the Expenses Compensation Medical Insurance Contract are allowed to freely agree to abide by the Principle of Loss Compensation in the contract to apply the relevant rules derived therefrom.