when two insurers are liable under a given common policy, the principle of insurance that applies is?
-
A.
indemnity -
B.
subrogation -
C.
proximate clause -
D.
contribution
Correct Answer: Option D
Explanation
The principle holding that two or more insurers each liable for a covered loss should participate in the payment of that loss. Having paid its share of a loss, an insurer may be entitled to equitable contribution—a legal right to recover part of the payment from another insurer whose policy was also applicable.