A Contract Ownership of an insurance policy means that you have a contractual relationship. Paying a premium to an insurance company creates an obligation on their part to provide coverage. The terms of the coverage is defined by the policy and most companies try to be clear about what you can expect for your premium dollars. As is typical of most contracts, both parties are expected to deal fairly with each other, under the contract terms.
Partners often learn to understand and work with each other quite well.
However, sometimes disagreements occur and you should be aware of how you may look to your policy for help. Arbitration And Appraisal Two common areas of disagreement are over whether coverage exists and how much should be paid for a covered loss. Arbitration is a tool for addressing the former issue, while the latter is frequently handled by appraisal. A policy owner may be in a position where, after filing a claim, it is rejected by the insurer. The insurer, in most cases, should offer an explanation for declining coverage.