Insurance

Chapter 1

a. Applicable Laws

b. General Concepts

Contract of Insurance (Sec. 2)

Under the Insurance Code, an agreement whereby one undertakes for a consideration
to indemnify another against loss, damage or liability arising from an unknown or
contingent event.

Contract of suretyship (Sec. 2)

It is an insurance contract, made by a surety, who or which is doing an insurance

business.

Insurance Business or transacting an insurance business

Insurer

1. Making or proposing to make

2. Making or proposing to make, as surety, any contract of suretyship as a vocation
and not as merely incidental to any other legitimate business or activity of the
surety.
3. Any kind of business, including a reinsurance business.
4. Doing or proposing to do any business in substance equivalent to any of the
foregoing in a manner desgined to evade the provisions of this code.

No profit still constitute of doing the business.

Insurance Commissioner