The Research On The Application Of The Principle Of Loss Compensation In The Person Insurance Contract

As one of the important principles of insurance law, the principle of loss compensation aims to give full play to the insurance’s function of economic compensation, and to prevent stakeholders via pay of insurance getting more additional interest than the actual damaged value. According to the traditional theory, the insurance law of our country divides insurance contract into property insurance contract and person insurance contract, in addition, the principle of loss compensation and its derived systems are only provided in the section of property insurance contract. The property insurance contract belongs to insurance contract which is compensatory, the application of the principle of loss compensation in it has been widely recognized. The insurance’s objects of person insurance contract are body and life, so this kind of insurance contract pays attention to the payment, then combine with the system of insurance law we can find that person insurance contract should not apply the principle of loss compensation. However, with the progress of society and the development of economy, the insurance business constantly improves, scholars gradually realize that the health insurance and accident injury insurance both bear the nature of person and property, as a result, the application of the principle of loss compensation in person insurance contract causes great controversies among the theoretical circle. The newly revised "Insurance Law of the People’s Republic of China" in 2009, also did not make clear provision on the relevant problems, which determines the theoretical significance of the subject. In insurance practice, since there are no unified and clear regulation, and the level of judges is different, so it causes that similar cases are made to be contrary judgments. Therefore, in order to promote judicial unification, safeguard judicial authority and stabilize order of insurance, the subject has the practical significance.On the application of the principle of loss compensation in person insurance contract, it firstly summarizes the three views of domestic theoretical circle by citing: the first is it cannot be applied to all person insurance contracts; the second is it can be applied to all person insurance contracts; the third is it can be applied to some person insurance contracts. Then it through argumentation and analysis reachs that the medical expenses insurance which is additional with health insurance and accident injury insurance bears the nature of compensation, so the amount of compensation should be limited, and the principle of loss compensation can be applied in some person insurance contract. Then it uses the method of case analysis to analyze correspondingly the relevant cases of the three-derived systems, in the end, we can find the application scope of the three-derived systems should be consistent with the principle of loss compensation, it means that they can also be applied in some person insurance contracts. It finally comparatively studies other countries’systems, which are about the applications of the principle of loss compensation and the three-derived systems in person insurance contract, we can finally confirm that:the medical expenses insurance which is additional with health insurance and accident injury insurance can apply the principle of loss compensation and the three-derived systems, this has become a new trend, and it is an innovation advancing with the times. We should reflect on our lack of insurance legislation, and constantly improve the insurance laws, in order to guide the practice work preferably, then it puts forward the consummate recommendations about the application the principle of loss compensation described from three aspects——legislation, judicature and insurance practice.In this paper, it breaks the regulation of insurance legislation in our country which means the principle of loss compensation and the three-derived systems can only be applied in property insurance contract, and argues and supports they can be applied in some health insurance and some accident injury insurance. Secondly, it not just explores the content of the application of the principle of loss compensation and the three-derived systems in person insurance contract, and also further specifies:as a kind of person insurance, the medical expenses insurance has its special conditions on the application of the principle of loss compensation and the three-derived systems, not exactly equivalent to the application of the principle in property insurance contract. Moreover, while health insurance and accident injury insurance both bears the nature of payment and compensation, but there are differences between them:the former highlights the nature of compensation, while the later better reflects the nature of payment.