The Basic Concepts Of The Tenability And Effect Of An Insurance Contract

The tenability of a contract means that both of the two parts of the contract agree with what has been said in the contract and they will carry it out accordingly. And this only means a kind of agreement to the specific items of the contract in the both sides, whether it bears any correcting power to the two parts of this contract depends on whether the contract will be really carried out.First part. The tenability and the effect of a contract are co-related. Tenability is the pre-condition of its effect, while effect is a basic asking. If a contract is without tenability it shall not be practiced. Effect is the result of the asking of tenability, and it is also the real purpose of a contract. Scholars have different opinions towards the acquiring elements to the tenability of a contract; some of them think that the form of an insurance contract can be divided in to two kinds: an insurance contract is protected by law only when it goes with the elements that acquired.Second part. Problems which we should pay attention to in the practicing of the contract. The paying of the insurance fee is not a requiring element for the tenability of a contract. the tenability of a contract only means the finish of the process of making an agreement between the two parts, at that time; contract has no law effect to the both sides. But the effect of a contract means that after the tenability of a contract, according to the law, this contract has law effect to the two parts.The responsibility of the insured: Insurance fee is not a requiring element for the tenability of a contract but only a responsibility. According to the law of contract each of the two parts of a contract should carry out the items properly with his/her credibility.The power of a contract will not be affected even the fee is failed to be paid, and the insurance company should be responsible for what is stated in...