Insurance can only be evidenced in an instrument in writing. This is generally known as the insurance policy whereby the insurer promises in return for money consideration (premium) to pay to the other party (assured) a sum of money or provide him with some corresponding benefit, upon the occurrence of one or more specified events (the risk).
Most insurance business in Oman is in practice transacted through agents and for good reasons. Agents and brokers possess not only the authority bestowed upon them by the principal, but also ostensible or apparent authority to commit the acts in question, particularly when no notice of limitation of authority is intimated to the other party.
Insurance contracts are known to be contracts of utmost faith. In certain instances and in particular in large claims, insurers are advised to consult a lawyer prior to deciding to avoid a policy based on the ground of mistake, misrepresentation, non-disclosure, or breach of warranty or condition.
We are able to legally review and consider insurance claims and to certify whether they could be passed for payment in return for a duly executed subrogation form and discharge receipt. Our long experience enables us to determine whether the loss has been proximately caused by the peril covered by the policy, to interpret and apply policy provisions, to determine whether the insured has discharged the burden of proof, the amount of loss payable on valued and unvalued policies after exclusion of consequential loss, betterment allowance and salvage. We are also able to advice insurers as to their right to inspect, possible claims by the assured against third parties, insurable interest, notice of loss, fulfillment of conditions precedent, exercise of the right of reinstatement by the insurer, several liability of insurers in case of double insurance, and the application of the principle of contribution where two or more insurers cover the same rights and interest in any risk.
We also prosecute and defend insurance claims before the Court and arbitrators relating to fire policies, property and marine insurance, contractors’ risks and personal accident policies and others. We also represent clients before the Criminal Court in vital cases involving an important principle of insurance law.