A formal writing style is not necessarily âbetterâ than an informal style, rather each style serves a different purpose and care should be taken in choosing which style to use in each case.
insured contract. A term used to specify the limit of contractual liability coverage. This term can refer to lease agreements, easement agreements, and any other agreement that relates to the insured's business.
A named insured is covered for claims that arise out of its vicarious liability for negligence committed by someone acting on its behalf. Thus, a firm named on the policy is covered for claims by third parties for injuries caused by the negligence of the firm's employees.