Policy and Premiums in Insurance

Policy and Premiums in Insurance

Insurance policy
A consensual insurance agreement or obligation (an agreement), must be made in writing in a deed between the contracting party. On the deed made in writing it is a “policy”. Thus, the policy is a proof of contract which is written proof.

In the insurance or insured agreement between the parties, an insurer must submit the policy to the insured within the following period of time: (Radiks Purba, Op Cit. Page 59)

If the agreement is made instantly and directly between the insurer and the insured who is authorized by the insured, then the policy which has been signed by the insurer must be submitted to the insured within 24 hours (article 259 KUHD).
If the coverage is made from an insurance broker, then the policy signed by the insurer must be submitted to the longest within 8 (eight) days (article 260 KUHD).

– General Policy Functions, are:
Contract of Indonesia
As proof of guarantee of the insurer to the insured to replace the losses that may be experienced by the defendant due to unforeseen events with the principle:
To return the insured to his prior position before suffering a loss; or
To avoid the insured from bankruptcy (Toial Collapse)
Evidence of insurance premium payments by the insured to the insurer as a consideration on the guarantee of the insurer.
– Is a policy in General in Insurance

In accordance with the Law on Trade Law (KUHD) Law, with the exception of insurance or life insurance, there are 8 (eight) terms among them, namely: N Purwosujipto, SH.Changes of Indonesian Commercial Law, Insurance Law, Jakarta: Djambatan, 1990, page 63)
Day of the closing of the insurance agreement
An oranh who covers the coverage, on his or her own behalf or at the expense of a third person.
A clear description of a guaranteed object or object
The amount of coverage, for which held collateral (insurance money)
Dangers borne by the insurer
At the start and end of the grace period, in which a guarantee is made by the surety.
The amount of money Premiums to be paid by the guaranteed
Additional information that the guarantor needs and the special promises made by both parties.

– Premiums In Insurance

Understanding premiums in insurance or coverage is the obligation of the insured, where the results of the obligations of the insured will be used by the penangung to replace the losses suffered by the insured.
The premium is usually determined in a percentage of the sum insured, which in the percentage describes the insurer’s assessment of the risks it incurs, the insurer’s judgment is different, but this is influenced by the law of demand and supply. (Mmy Pangaribuan Simanjuntak, Insurance Law, Yogyakarta: Legal Section Trade Faculty of Law UGM, 1990, page 41)
The function of the premium shall be the purchase price of the dependent that must be provided by the insurer or as a compensation for the risk that the transferred coverage is made, unless the liabilities bear each other. As for the payment of premiums, usually paid in cash at the time the insurance agreement is closed. But if the premium is agreed with the budget then the premium is paid at the beginning of each installment time.
Subject and Object of Insurance

– Subject of Insurance

In each agreement there are always 2 (two) kinds of subjects, on the one hand a person or a legal entity gets an obligation to something, and on the other hand there is a person or a legal entity that gets the rights to the implementation of the obligation, then in each Approval is always a party is obliged and the party entitled. Thus, the parties to the insurance contract are the insurer and the insured. (Bid, page 34)
So based on Article 246 of the Code of Commercial Law. (KUHD) can be concluded that there are two parties that act as the subject of insurance, namely:
The insured party, ie the party who owns the property in danger. This party intends to transfer the risk to the property, on the transfer of risk the insured party has the obligation to pay the premium.
The insurer, ie the party who would accept the risk of other people’s property, with a counter-achievement in the form of premiums. Thus, if an event arises in favor of the penanggnglah who gives compensation