Rahul Mehta, Jindal Global Law School
Introduction
The paper gives a brief introduction to the concept of insurable interest. It further dwells into the issue regarding whether shareholder’s have an insurable interest in the corporations property. The purpose of this paper, however, is to illustrate the fact that shareholders do have an insurable interest, regardless of the fact that the company is a separate legal entity. The paper would further analyse the contentious judgement delivered in Kosmopoulos v Constitution Insurance Co of Canada. 1The case pertains to the ambit and scope of the concept of insurable interest and comprises one of the few instances where the Court has had the opportunity to grant shareholders the right to insure corporations assets. Additionally, the paper would provide an in-depth understanding of whether a bailee possess an insurable interest.
